let me explain how this is happening with me…
Exchange rate i mostly use is 1USD =3.67AED bcz i get money from foreign customers to my AED account
i entered manual exchange rate of 1USD = 3.67AED ( If i dont give manager automatically considering 1USD = 3.669AED)
if i create a sales invoice for $100,000/- then i should receive AED 367,000/-… which should be perfect (no currency gain/loss)
in some cases if i pay from AED account to USD supplier then i need my exchange rate to be $1=AED3.674
when i create a purchase invoice of $100,00/- then i should spend AED 367,400/- (this i will fill on both the currency boxes in spend money filling form).
now Manager will consider that Extra AED -ve 400/- is added to currency gain/loss.
if there is a manual entry $100,000/- and AED 367,400/- which im entering manually on spend cash form then why manager wants to calculate about extra 400?
According to me it should not calculate that extra AED 400.
Manager should consider that new exchange rate is only for that particular transaction where there is no currency loss or gain.
if im thinking wrong someone please explain how its working and how i should solve this?