Viewing Currency Quotation Methods Concept Viewing Currency Quotation

Viewing Currency Quotation Methods Concept

Viewing Currency Quotation Methods

Viewing Currency Quotation Methods Step 1 Begin by navigating to the Currency Quotation Method page. Click the Scroll Down arrow.

Viewing Currency Quotation Methods Step 2 Click the Set Up Financials/Supply Chain menu.

Viewing Currency Quotation Methods Step 3 Click the Common Definitions menu.

Viewing Currency Quotation Methods Step 4 Click the Currency menu.

Viewing Currency Quotation Methods Step 5 Click the Currency Quotation Method menu.

Viewing Currency Quotation Methods Step 6 Click in the From Currency Code field.

Viewing Currency Quotation Methods Step 7 Enter the desired information into the From Currency Code field. Enter "ATS".

Viewing Currency Quotation Methods Step 8 Click in the To Currency Code field.

Viewing Currency Quotation Methods Step 9 Enter the desired information into the To Currency Code field. Enter "BEF".

Viewing Currency Quotation Methods Step 10 Click the Search button.

Viewing Currency Quotation Methods Step 11 The Currency Quotation Method page enables you to record currency quotation methods between currencies for each From Currency Code and To Currency Code pair.

Viewing Currency Quotation Methods Step 12 Indicate whether the rates for this currency pair are quoted directly or indirectly. For example, when defining a currency quotation method for USD and FRF: • Select Direct if you want 1 USD to equal x. xxxx FRF. • Select Indirect if you want x. xxxx USD to equal 1 FRF. Even currency quotation methods for currency pairs that triangulate must be classified as either direct or indirect. In this case, the value is used to display the calculated cross rate. Support for indirect and direct quotation methods allows applications to eliminate the use of calculated reciprocal rates by using a single rate by which you either divide or multiply, depending on whether the conversion method is direct or indirect.

Viewing Currency Quotation Methods Step 13 Use the Quote Units field to enter a unit for the exchange rate; this is a common business practice for some currencies. This field can be any value, but it is usually a power of 10. Sometimes called scaling factors, quote units often are used to preserve decimal precision. For example, the exchange rate between Swiss francs (CHF) and Deutsche marks (DEM) may be stated as 100 CHF = 119. 335 DEM instead of 1 CHF = 1. 19335 DEM.

Viewing Currency Quotation Methods Step 14 Select the Auto Reciprocate option to automatically create or update the rate for the reciprocal currency pair on the Market Rates page whenever you add or update an exchange rate. For example, if you create a currency quotation method for USD to EUR, the system automatically creates the reciprocal currency quotation method for EUR to USD, regardless of this setting. When you create a rate for USD to EUR on the Market Rates page, the system automatically creates the EUR to USD reciprocal rate if the Auto Reciprocate option is selected for the currency pair. If either rate for the currency pair is updated on the Market Rates page, the system updates the reciprocal rate as long as the Auto Reciprocate option is selected for one of the currencies in the

Viewing Currency Quotation Methods Step 15 Select the Triangulate option to triangulate conversions between this currency pair using a reference currency.

Viewing Currency Quotation Methods Step 16 Use the Reference Currency field to enter the currency for a triangulated conversion.

Viewing Currency Quotation Methods Step 17 For triangulated currency pairs, the Primary Visual Rate group box displays three exchange rates for consideration: • The rate between the From Currency and the Reference Currency • The rate between the Reference Currency and the To Currency • The calculated cross rate between the From Currency and the To Currency Select the rate that you want to use as the primary visual rate. This rate appears on the primary pages and reports. For online applications, you can view and modify other rate components on the Exchange Rate Detail page.

Viewing Currency Quotation Methods Step 18 For triangulated currency pairs, select the Allow Override option to enable users to override the cross rates on the Market Rates page and the Exchange Rate Detail page.

Viewing Currency Quotation Methods Step 19 If the Allow Override option is selected, then you select a Recalculate option to indicate which of the other two rates should be recalculated to bring the triangle back into balance. Because the triangulated rate is a calculated rate initially, if you allow it to be overridden the rates used to calculate it initially must be recalculated.

Viewing Currency Quotation Methods Step 20 You have successfully viewed a currency quotation method. End of Procedure.