Currency conversion scenario

The following scenario illustrates how currency is displayed for an order. Suppose that a customer enters an order in France with an English company. The customer pays in francs (the transactional currency). Sterling Selling and Fulfillment Foundation converts the amount from francs to pounds using triangulation through the euro.

Because the order is placed in francs, if a company employee in England displays the order, the order is displayed in francs.

To allow auditing or reviewing of currency conversions, Sterling Selling and Fulfillment Foundation stores the exchange rates for each order as an order attribute. When an order is entered, the software stores the exchange rate used between the transactional currency and the enterprise currency. If a conversion involves triangulation, Sterling Selling and Fulfillment Foundation stores the composite exchange rate used between the euro, the transactional currency, and the enterprise currency.