For companies that operate across borders, dealing with multiple currencies is a matter of course. However, fixed exchange rates to certain currencies can significantly impact financial reporting and analysis. MoreThanDigital Insights allows you to customize exchange rates to your company's specific needs, ensuring that your financial data accurately reflects your operational reality. In this guide, you'll learn how to set up customized exchange rates for your company account - an important step in obtaining accurate and meaningful financial data.
Why Custom Exchange Rates Matter
Using custom exchange rates ensures that your financial reporting on MoreThanDigital Insights aligns with your internal accounting practices. Since the platform benchmarks in Euro and USD, correctly converting your financial data into these currencies using your specific exchange rates is essential for accurate analysis and comparison.
Setting Custom Exchange Rates: A Step-by-Step Guide
During Onboarding
Select Reporting Currency: When signing up for MoreThanDigital Insights, you'll choose your reporting currency. This selection sets the base for your financial data.
Customize Insights: During the onboarding steps, you'll encounter the "Customize Insights" section. Here, you have the opportunity to input your custom exchange rates.
Enter Exchange Rates: Input the fixed exchange rates your company uses for converting financial data into the reporting currency you've selected.
Updating Exchange Rates in the Company Profile
If you need to set or adjust custom exchange rates after the initial onboarding, follow these steps:
Navigate to Company Profile: Access your company profile on the MoreThanDigital Insights platform.
Find Exchange Rate Settings: Look for a section dedicated to financial settings or exchange rates. This may be under a broader category related to financial data customization.
Input Custom Rates: Enter or update your custom exchange rates as needed. Ensure these rates match those used in your internal financial systems for consistency.
Save Changes: After entering your rates, save your changes. The platform may offer an example calculation to demonstrate how the custom rates affect data conversion.
Important Considerations
Review Regularly: Exchange rates can fluctuate. Regularly review and update your custom rates to ensure ongoing accuracy in your financial reporting.
Impact on Analysis: Understand that changing your exchange rates affects how your financial data is benchmarked against others on the platform. Ensure stakeholders are aware of these customizations.