Defining Exchange Rates
To properly set up exchange rates for alternate currencies,
you must configure the following:
Note: Refer to the demo environment
for the full example.
- Define the currency in the Currency portal. Demo Example:
- Canadian Dollars (CAD)
- Configure a Characteristic Type and Value to define
a single value. Demo Example:
- Single Value
- Configure a Characteristic Source Algorithm for the factor
which will define the conversion. Demo Example:
- Factor Retrieve Single Value Characteristic
- Configure a factor to define the exchange rate to use.Demo Example (U.S. to Canadian exchange rate):
- Factor: USD to CAD Exchange Rate
- Factor Characteristic Type: Single Value
- Factor Characteristic Value: Single Value
- Effective Date/Time: 01–01–2015
-
Factor Value: 1.2200000
This value represents the value of your base currency converted to the foreign currency. In this case, 1 US dollar converted to Canadian.
- Add the factor to the Purchasing Master Configuration under Alternate Currency Exchange Rates.
When the currency is referenced on a vendor location and processing completes from issued purchase order through to receipt, the system calculates the converted unit price and total. The purchase order displays both values: In this example, Order Total in USD and Converted Total in CAD.