How Do You Use a Currency Conversion Table?

How Do You Use a Currency Conversion Table?

Using a currency conversion table usually involves selecting a currency to convert from and, locating the currency code for the currency to be converted to in the table, and then multiplying the conversion factor by the original currency value, states the Internal Revenue Service. However, the exchange rate at an actual bank at the time of conversion can vary, so the conversion should be considered an estimate rather than a guarantee, warns Investopedia. The XE website is one place offering a currency conversion table to use.

Do the following to use a currency conversion table.

  1. Select the currency to convert from
  2. Websites with currency conversion tables usually have a drop-down list for the user to choose the currency from which to convert. This ensures that the right conversion factors are shown.

  3. Locate the country and conversion factor
  4. After selecting the currency to convert from, go down the table to find the desired currency, such as the euro. To the right of the currency should be the conversion factor from the original currency to the destination currency, shows the XE website. The table should show what one unit of the original currency is worth in the destination currency.

  5. Do the math
  6. To find how much the original currency would be in the destination currency, multiply the original currency amount, such as $10, by the units per the original currency to get the amount. For example, if a Euro was worth $.90 per dollar, then $10 would convert to 9 euros since 10 times .90 is 9.