Exchange Rates
The Exchange Rates view is where the system manages the relative value of foreign currencies against your company’s home currency. This is the "brain" behind multi-currency accounting, ensuring that when you purchase or sell in a foreign denomination, the ERP knows exactly how much that transaction is worth in your local books. Consistent rate management prevents accounting discrepancies and ensures accurate reporting of foreign exchange gains or losses.
Currency Selection
To view or update rates, you must first define which currency you are working with:
- Select a currency: A dropdown menu containing all the currencies activated in your Currencies tab. Choosing a currency will populate the history of rates used for that specific denomination.
Historical Rate Table
Once a currency is selected, the system displays a log of previously used rates:
- From Currency: The foreign currency being converted (e.g., USD, EUR).
- Date to Use From: The specific date the rate became effective. The system will use this rate for all transactions from this date until a newer rate is entered.
- Exchange Rate: The numerical value of the foreign currency relative to your home currency.
- Home Currency: The base currency of your company (e.g., INR).
Updating Exchange Rates
You can manually set or fetch the latest market rates using the input section:
- Date to Use From*: The start date for the new rate. It defaults to the current date (e.g., 29/03/2026).
- Exchange Rate*: The field where you enter the new conversion value.
- Get Button: If "Automatic exchange rate update" was enabled in the Currency settings, clicking this will attempt to fetch the live market rate from an integrated financial API.
- + Add New: Saves the entered rate into the system's history.
Important Logic
The system follows these rules for currency conversion:
- Time Sensitivity: The system always looks for the most recent rate entry that is on or before the transaction date.
- Base Currency Reference: All exchange rates are entered against the company's home currency. For example, if your home currency is INR, the rate for USD would be how many INR equals 1 USD.