How is the Forex Profit and Loss calculated?
I am currently showing a loss in my Profit and Loss Statement. I used a rate of 1 AUD = 0.75 USD
Would you recommend setting a rate at the start of the year and using that rate throughout the 12 months?
When would you then calculate the profit and loss of the Forex and would one just use the closing Forex rate on the last business day of the year?
Thank you for your assistance.