What is 'target currency' in SAP FS-AM-IM - Item Management?

target currency - Overview

• Component: FS-AM-IM

• Component Name: Item Management

• Description: The currency into which the system converts the amount of a payment item during the currency exchange, using the exchange rate.

target currency - Details

• 
  Key Concepts: 
  Target currency is a feature in SAP FS-AM-IM Item Management that allows users to set a target currency for their items. This target currency is used to calculate the item's value in the local currency, which can then be used for reporting and analysis. The target currency can be set for each item individually or for all items in a group. 
  
  How to use it: 
  To set a target currency for an item, go to the item's master data and select the “Target Currency” field. Enter the desired currency code and save the changes. To set a target currency for all items in a group, go to the group's master data and select the “Target Currency” field. Enter the desired currency code and save the changes. 
  
  Tips & Tricks: 
  When setting a target currency, make sure to select a currency that is commonly used in your area. This will ensure that your reports and analysis are accurate and up-to-date. Additionally, it is important to keep track of any changes in exchange rates as this may affect your item's value in the local currency. 
  
  Related Information: 
  For more information on SAP FS-AM-IM Item Management, please refer to the official SAP documentation at https://help.sap.com/viewer/product/FS_AM_IM/latest/en-US