The following section describes the setup rules for Currency Exchange module and its function.
Currency Code and Exchange Rate Setup
You will need to have a Credit Posting department for each currency accepted by the Ship. This is set up in Administration module, Financial Code setup. See Administration User Guide.pdf for more information on how to setup the codes.
Set up the Financial Codes, you can then enable the currency code and set the exchange rate in Currency Exchange module.
Figure 2-1 Currency Setup
By default, the system stores commission posted in currency transaction table if the System Account is not available. If the Ship operator wish to track all commissions received through Currency Exchange module, this would require a Debit and Credit Financial Posting code and System Account. The commission applicable to buy or sell is dependent on the Parameter defined in System Setup, Database Parameters, Exchange Group.
Curr. Exch. Commission Type
2Way Commission Type (for Foreign to Foreign Exchange)
Below are examples of currency exchange with the commission and the formula use to calculate the commission value.
To exchange €100 to USD that has applicable commission at 3%. The calculation formula is (€100/1.345) = $74.35. Hence the applied commission is $2.17 ((€100/1.345)/3%)).
Figure 2-2 Commission by %
To exchange €10 and minimum commission is $2.00, the calculation formula is (€10/1.345) – $7.43 x 3% = $0.0223. Since the calculated value is below the amount specified, the system will post $2.00 as the applicable commission. Hence, the guest only receive $5.43.
Figure 2-3 Minimum Commission Charged