Use conversion rate types to automatically assign a rate when you:
convert foreign currency journal amounts to your ledger currency equivalents
run Revaluation
run Translation or Remeasurement
You enter daily conversion rates for specific combinations of foreign currency, date, and conversion rate type. When you enter a foreign currency journal, General Ledger automatically displays the predefined exchange rate based on the currency, rate type (unless you are using the User rate type), and conversion date you enter. When you have a User rate type, you enter the rate directly when you enter a foreign currency journal.
Note: If you want to enter different daily rates for the same combination of from-currency, to-currency, and conversion date, you must define separate conversion rate types.
General Ledger provides the following predefined daily conversion rate types:
Spot:An exchange rate which you enter to perform conversion based on the rate on a specific date. It applies to the immediate delivery of a currency.
Corporate: An exchange rate you define to standardize rates for your company. This rate is generally a standard market rate determined by senior financial management for use throughout the organization.
User:An exchange rate you specify when you enter a foreign currency journal entry.
You can use these predefined rate types to enter exchange rates, or you can define additional conversion rate types. After defining a conversion rate type, enter daily rates using that rate type.
Navigate to the Conversion Rate Types window.
Enter a Name and Description for the new conversion rate type.
(Optional) Select the Enable Security checkbox to apply Definition Access Set security to your conversion rate type.
Definition Access Sets are an optional security feature that allows you to control access to your General Ledger definitions. For example, you can prevent certain users from viewing, making changes, or using your conversion rate type.
If you do not enable security, all users will be able to use, view, and modify your conversion rate type.
If the Assign Access function is available for your responsibility, the Assign Access button will be enabled once you check the Enable Security check box. Choose the Assign Access button to assign the definition to one or more Definition Access Sets with the desired privileges.
For more information, see the Definition Access Set for Conversion Rate Type table in the Definition Access Set Security section of this chapter. It explains the Use, View, and Modify privileges to the Conversion Rate Types in the Daily Rates window. Also see Definition Access Sets.
If the Assign Access function has been excluded from your responsibility, you will not be able to view the Assign Access button in the Conversion Rate Types window. You can still secure the Conversion Rate Type by checking the Enable Security check box, but only Definition Access Sets that are AutoAssigned will be automatically assigned to this Conversion Rate Type. For more information on Function Security, see your System Administrator.
Save your work.