If the customer or supplier is set to Any Currency. It will be possible to post a home currency adjustment to balance off the exchange adjustment postings.
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Once this has been done, the transactions can be allocated against each other, in the home currency, via the allocation area.
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To set the record as Any Currency:
Go to the Customer or Supplier record.
select the Terms tab
tick Any Currency (note the warning about not being able to undo this)
Save & Close
Note: As detailed above, setting a customer or supplier to Any Currency cannot be undone.
