Local currency cannot be determined due to conflict in company code

What causes this issue?

Invalid company or company code is mapped to consolidation entity.
Local currency is mandatory for consolidation:
If a company has no local currency and no company code assigned to it,
then the company cannot be mapped to a consolidation entity.
If a company has no local currency and assigned company codes have
different local currencies, then the company cannot be mapped to a
consolidation entity.
If a company code has no local currency, then the company code cannot be
mapped to a consolidation entity.

System Response

Processing is not carried out.

How to fix this error?

Maintain the correct local currency for the company or company code.

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.