How is the exchange rate calculated?

One of the questions that arise from customers is how the exchange rate of different currencies is calculated. In our CRM system, the principle of applying exchange rates corresponds to the widely used methodology in international practice - for invoicing, theprevious working daysexchange rate.

Such an arrangement ensures that all users receive a stable and confirmed exchange rate on time, regardless of the time of announcement of exchange rates in different countries or time zones.

This method is compatible withIFRS requirements, followingfrom 2022 May 1st in accordance with the provisions of Article 5, Part 3, Clause 2 of the Financial Accounting Law of the Republic of Lithuania, which allow you to use both the day of the transaction and a systematically applied close exchange rate, such as the previous day's rate. This is done so that the system always uses a stable, confirmed rate that is available to all users at the same time, since many central banks only publish rates later in the day.

For example: if the invoice is issued on 03/28/2025, the rate of 03/27/2025 will be used. This practice is widely usedERP, CRM and other international systems.