Curr.type &1 in company code &3 does not match val. view &4 of ledger &2

What causes this issue?

Currency type does not match the valuation view.
Only currency types that match the valuation view of a ledger can be
used by company codes assigned to the ledger.

System Response

Error.

How to fix this error?

Only use currency types that match the valuation view of the ledger. For
example, if a ledger has the valuation view 1, the company code of the
ledger can use currency type 31.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.