1. What is the Exchange Rate Calculator?

This calculator converts currency using a custom exchange rate you provide. It's useful when you need to apply specific rates that may differ from market rates.

2. How Does the Calculator Work?

The calculator uses a simple formula:

Where:

• Amount — Original amount in source currency
• Custom Exchange Rate — The rate at which you want to convert

Explanation: The calculation multiplies your original amount by your specified exchange rate to give the converted amount.

3. Importance of Custom Exchange Rates

Details: Custom rates are important for specific business transactions, historical conversions, or when using non-standard conversion rates.

4. Using the Calculator

Tips: Enter the original amount and your custom exchange rate. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: Why use a custom exchange rate instead of market rate?
A: You might need specific rates for contractual agreements, internal accounting, or historical comparisons.

Q2: How many decimal places should I use for the exchange rate?
A: Typically 4 decimal places for most currency pairs, though some (like JPY) may need fewer.

Q3: Can I use this for cryptocurrency conversions?
A: Yes, as long as you have a specific rate you want to apply.

Q4: Does this calculator account for fees or commissions?
A: No, it only applies the exact rate you provide. Include any fees in your custom rate if needed.

Q5: Can I calculate reverse conversions?
A: Yes, simply use the reciprocal of your exchange rate (1/rate).