When you define a company code, you also need to define the company code currency. You can select one of the following currencies as account currency:
Local currency
Foreign currency
As a standard, when you create a G/L account, SAP S/4HANA takes the local currency as the default account currency. If you select the local currency, you can post to this G/L account in any currency. Other currencies are converted into the local currency for each line item. Posting of items in different currencies is possible irrespective of whether line item display is activated or not.
Note
To avoid differences in exchange rates during postings, you can set an indicator for accounts that can be posted to in different currencies, but where clearing may only be completed in the local currency.
