Exchange Rate Hierarchy

In instances when multiple exchange rate records exist that are applicable to the AWB date, the system follows a hierarchy that depends on the optional Exchange Rate record fields, Type and Country Code.

AWB Pricing and AWB Invoicing

For AWB Pricing, the Sell Currency is converted to the AWB Issue Currency. For AWB Invoicing, the AWB Issue Currency is converted to Invoice Currency. The currency exchange rate hierarchy is defined by the following criteria.

Table 1. Exchange Rate Hierarchy
Priority	Exchange Rate Type	Country Code
First or highest	Sell	Specified
Second	Home	Specified
Third	Not specified or left blank	Specified
Fourth	Sell	Not specified or left blank
Fifth	Home	Not specified or left blank
Sixth or lowest	Not specified or left blank	Not specified or left blank

Exchange rates can be viewed and set manually in Master Data > Currency Exchange Rate > Exchange Rate. The exchange rate record that takes highest priority is the record whose Type is Sell, and the Country Code is specified.

In the following example, the exchange rate is Sell and specific to GB.

If such record is applicable to a conversion, it takes highest priority, followed by country-specific Home exchange rate, then by an exchange rate whose Type is left blank. Next in the hierarchy are non-country-specific exchange rate records, following the same priority order of Sell type being highest, followed by Home, and lastly, blank Type. It is not typical to have multiple exchange rate records that cover the same effective date. However, if the issue date of an AWB falls into a date range of multiple exchange rate records, the record with the highest priority based on the hierarchy is applied to that conversion.

In the following AWB, the 1.38 exchange rate is applied because it is country-specific (GB) and the exchange rate type is Sell.