What is 'currency type' in SAP FS-PM - Policy Management?

currency type - Overview

• Component: FS-PM

• Component Name: Policy Management

• Description: A specific type of currency, such as local currency, risk currency, or invoice currency, that is used for multi-currency contracts.

currency type - Details

• 
  Key Concepts: 
  Currency type is a component of the FS-PM Policy Management module in SAP. It is used to define the currency in which a policy is to be managed. This allows for the accurate tracking of policy values and transactions in different currencies. 
  
  How to use it: 
  In order to use currency type, you must first define the currency in which the policy will be managed. This can be done by selecting the appropriate currency from the drop-down list in the FS-PM Policy Management module. Once selected, all transactions related to the policy will be tracked in that currency. 
  
  Tips & Tricks: 
  It is important to ensure that the correct currency type is selected when setting up a policy. This will ensure that all transactions related to the policy are tracked accurately and that any discrepancies are avoided. 
  
  Related Information: 
  For more information on how to use currency type in SAP, please refer to the official SAP documentation on FS-PM Policy Management.