Currency Exchange Rates

Use the Currency Exchange Rates function to set up currency exchange rates.

Since currency exchange rates can change daily, Traverse lets you record both daily and periodic rates.

  • Daily rates are used to convert invoice and payment values in transactions as you enter them; when you enter an invoice or payment, the system automatically converts that value to your company's base currency using the most current daily exchange rate.
  • Periodic rates are used to convert account balances for financial statements and the like. These rates represent the average exchange rate for a given period. When you view account balances and print statements, the system converts those balances to your company's base currency using the periodic rate from the period you specify.
  • You must set up exchange rates for each currency in the closing period, which may be period 13 (or period 14 if the company is set up with 13 periods per year). This is required by some functions to calculate the period 0 beginning balances for the next year.
  • To set up exchange rates, you need the following:
    • Currency from which you are converting (for example, US dollar)
    • Currency to which you are converting (for example, Japanese Yen)
    • Exchange rate (for example, 110¥ = $1 USD)
    • Date the exchange rate goes into effect

Currency exchange rates change regularly. Whenever an exchange rate that you are using changes, you must set up the new exchange rate. Currency exchange rates are stored in transactions and cash receipts when they are saved. Changing the exchange rate or adding a new one does not change the rate already saved in transactions, cash receipts, or history files.

Creating a Currency Exchange Rate

  1. Select a foreign currency to convert your base, or functional, currency to from the To Currency drop-down list. The list of currencies can be edited with the currency function.

    2. Note: You can have a single foreign currency in effect. If you need more than one foreign currency available, contact your software provider.

  2. Click the New button on the toolbar to add a new currency exchange rate record.
  3. To add the daily exchange rate, click the Daily Rates tab, then change the effective date, if necessary, in the Effective Date From field.
    Note: Exchange rates from the date you enter and onward appear on the Daily Rates and Periodic Rates tabs.
  4. Enter the exchange rate into the Exchange Rate field.
  5. Change the date in the Date field if necessary. The field automatically fills in with the current date.
  6. Enter comments regarding the rate into the Comment field.
  7. To add a period exchange rate, click the Period Rates tab, then:
    1. Click the New button, on the toolbar.
    2. Enter the fiscal year for which the exchange rate should become effective in the Fiscal Year field.
    3. Enter the fiscal period for which the exchange rate should become effective in the Fiscal Period field.
    4. Enter any additional comments about the exchange rate in the Comment field.
  8. Click the Save button on the toolbar to save the currency exchange rate.

Editing a Currency Exchange Rate

  1. Use the record navigation buttons to select a currency exchange rate record to edit under either the Daily Rates or Period Rates tabs.
  2. Edit the fields as necessary.
  3. Click the Save button, on the toolbar, to save any changes made to the currency exchange rate.

Deleting a Currency Exchange Rate

  1. Use the record navigation buttons to select a currency exchange rate record to delete under either the Daily Rates or Period Rates tabs.
  2. Click the Delete button, on the toolbar, to delete the selected currency exchange rate.
  3. Click Yes at the "Are you sure you want to delete selected record(s)?" prompt.