Tuesday, May 31, 2016

Dynamics NAV - Currency Factor vs Exchange Rate and Relational Exchange Rate

BC Setup
  • Base Currency is USD
  • Foreign currency is EUR
  • I want 1 EUR = 1.12 USD
    • In exchange rate screen for EUR
    • Exchange Rate Amount = 1
    • Relational Exchange Rate Amount = 1.12
    • Fix Exchange Rate Amount = Currency


Method 1
  • My base currency in the G/L setup is GBP
  • My foreign currency is USD
    • Currency Factor is 1.7
      • 1 GBP * 1.7 = 1.7 USD
    • Exchange Rate is 0.55
      • 1 USD * 0.55 = 0.55 GBP
    • Currency Factor = 1/Exchange Rate
Method 2
  • USD Exchange Rate Amount = 1 
  • USD Relational Exchange Rate Amount = 7
  • Fix Exchange Rate Amount = Currency
    • Translates into 1 GBP = 7 USD

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