Concept: Expense Item Currencies
The expense items that you create require currencies to define their monetary value. You
can use the
Create Expense Item
and Edit Expense
Item
tasks to set currencies on your expense items.When expense item and transaction currencies differ, Workday converts the expense item
currency to the transaction currency. Between the time of expense transaction submission and
payment, expense item currencies can change in value, which might lead to realized gains and
losses.
Example: You expense an item for 5 USD to your UK company, which uses GBP. When you create an
expense report, Workday converts the 5 USD to the transaction's current 2.5 GBP value. As
exchange rates fluctuate, when your company pays the 2.5 GBP the amount converts to either:
- 4.5 USD, resulting in a foreign currency exchange loss.
- 5.15 USD, resulting in a foreign currency exchange gain.