Example: Triangulation Method
This example shows the exchange rate setup for a CAD to EUR currency relationship that uses the triangulation calculation method. The triangulation currency is USD. As the table shows, you must use the no inverse method in combination with the triangulation calculation method:
Currency Relationship |
Multiplier Conversion Method (Y) and No Inverse Rate |
Divisor Conversion Method (Z) and No Inverse Rate |
---|---|---|
CAD to USD |
0.64148 |
blank |
USD to EUR |
blank |
1.01888 |
To convert amounts from CAD to EUR using USD as the triangulation currency, the system first calculates the CAD to USD amount using the multiplier conversion method (leg 1), and then the USD to EUR amount using the divisor conversion method (leg 2).