Categorize Currency License For Free

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Go to Bookkeeping then Transactions then select Bank transactions (Take me there), or go to Bank transactions (Take me there). From the For review tab, open the transaction details and select Add. In the currency fields, enter the foreign amount or the exchange rate your bank provides.

One can classify currencies into three monetary systems: fiat money, commodity money, and representative money, depending on what guarantees a currency's value (the economy at large vs. the government's physical metal reserves).

That is, the exchange rate is the price of a country's currency in terms of another currency. For example, if the exchange rate between the U.S. dollar (USD) and the Japanese yen (JPY) is 120 yen per dollar, one U.S. dollar can be exchanged for 120 yen in foreign currency markets.

The exchange rate gives the relative value of one currency against another currency. An exchange rate GBP/USD of two, for example, indicates that one pound will buy two U.S. dollars. The U.S. dollar is the most commonly used reference currency, which means other currencies are usually quoted against the U.S. dollar.