Working with Multiple Currencies
If you tell QuickBooks that you need to do your accounting in multiple currencies — something you do by choosing Edit⇒Preferences, selecting Multiple Currencies, clicking the Company Preferences tab, and then clicking the Yes I Use More Than One Currency button — QuickBooks reconfigures its operation and appearance so you can work with more than one currency.
As you might expect, given this is QuickBooks I’m talking about, working with multiple currencies isn’t that complicated. To go “multiple currencies,” you simply identify the currency that you’ll use for specific bank accounts, customers, and vendors. And then QuickBooks assumes that when you’re recording transactions for these bank accounts, customers, and vendors, you’re working in the specified currency. QuickBooks clearly identifies the specified currency in windows and dialog boxes next to amount boxes.
To enable you to convert foreign currencies to your home currency, QuickBooks also adds a Currency List command to the Lists menu, which you use to track currencies and their exchange rates so you can translate transactions denominated in a foreign currency into your home currency.