Convert to Currency in Excel

Introduction to Currency Conversion in Excel

Excel is a powerful tool used for various financial and accounting tasks, including currency conversion. With the increase in global trade and international business transactions, the need to convert currencies has become more frequent. In this article, we will discuss how to convert currency in Excel using different methods.

Understanding Currency Conversion

Before we dive into the methods of converting currency in Excel, it’s essential to understand the basics of currency conversion. Currency conversion involves exchanging one currency for another at a specified exchange rate. The exchange rate is the price of one currency in terms of another currency. For example, if the exchange rate between the US dollar (USD) and the Euro (EUR) is 1 USD = 0.88 EUR, then 1 USD can be exchanged for 0.88 EUR.

Method 1: Using the Currency Format

One of the simplest ways to convert currency in Excel is by using the currency format. This method involves applying a currency format to a cell or range of cells. To do this:

• Select the cell or range of cells that you want to format as currency.
• Right-click on the selection and choose “Format Cells” from the context menu.
• In the Format Cells dialog box, click on the “Number” tab.
• Under “Category,” select “Currency” from the list.
• Choose the desired currency symbol from the “Symbol” dropdown list.
• Click “OK” to apply the format.

This method will apply the selected currency format to the cell or range of cells, but it will not convert the value.

Method 2: Using the CONVERT Function

The CONVERT function in Excel can be used to convert a value from one currency to another. The syntax for the CONVERT function is:

CONVERT(number, from_unit, to_unit)

Where:

• number is the value that you want to convert.
• from_unit is the unit of the value that you want to convert from.
• to_unit is the unit that you want to convert to.

For example, to convert 100 USD to EUR, you can use the following formula:

=CONVERT(100, “USD”, “EUR”)

Note that the CONVERT function requires the analysis toolpack to be installed and enabled in Excel.

Method 3: Using the XE.COM Add-in

XE.COM is a popular online currency conversion tool that offers an add-in for Excel. The XE.COM add-in allows you to convert currencies in real-time using the latest exchange rates. To use the XE.COM add-in:

• Download and install the XE.COM add-in from the XE.COM website.
• Restart Excel after installation.
• Select the cell or range of cells that you want to convert.
• Click on the “XE” tab in the ribbon.
• Choose the “Convert” button.
• Select the from and to currencies from the dropdown lists.
• Click “OK” to apply the conversion.

The XE.COM add-in will update the exchange rates in real-time, ensuring that your conversions are accurate and up-to-date.

Method 4: Using VBA Macro

You can also use VBA macro to convert currency in Excel. This method involves creating a macro that uses the XMLHttpRequest object to retrieve the latest exchange rates from a web service. To create a VBA macro:

• Open the Visual Basic Editor in Excel by pressing “Alt + F11” or by navigating to “Developer” > “Visual Basic” in the ribbon.
• In the Visual Basic Editor, click on “Insert” > “Module” to insert a new module.
• Paste the following code into the module:

  Sub ConvertCurrency()
      Dim xml As Object
      Set xml = CreateObject("MSXML2.XMLHTTP")
      xml.Open "GET", "https://api.exchangerate-api.com/v4/latest/USD", False
      xml.Send
      Dim json As Object
      Set json = JsonConverter.ParseJson(xml.responseText)
      Dim rate As Double
      rate = json("rates")("EUR")
      Range("A1").Value = Range("A1").Value * rate
  End Sub
  

• Save the module by clicking “File” > “Save” in the Visual Basic Editor.
• Return to Excel and select the cell or range of cells that you want to convert.
• Press “Alt + F8” to open the macro dialog box.
• Choose the “ConvertCurrency” macro and click “Run” to apply the conversion.

Note that this method requires the JsonConverter library to be installed and enabled in Excel.

💡 Note: The VBA macro method requires the `MSXML2.XMLHTTP` object and the `JsonConverter` library to be installed and enabled in Excel.

Currency Conversion Table

The following table shows the exchange rates for some of the most commonly used currencies:

Currency	Symbol	Exchange Rate (1 USD = ?)
US Dollar	USD	1
Euro	EUR	0.88
Japanese Yen	JPY	110.24
British Pound	GBP	0.76
Australian Dollar	AUD	1.47

Note that the exchange rates are subject to change and may not reflect the current market rates.

In summary, there are several methods to convert currency in Excel, including using the currency format, the CONVERT function, the XE.COM add-in, and VBA macro. Each method has its own advantages and disadvantages, and the choice of method depends on the specific requirements of the user.

To recap, converting currency in Excel can be done using various methods, each with its own strengths and weaknesses. By understanding the different methods and choosing the one that best suits your needs, you can accurately and efficiently convert currencies in Excel. With practice and experience, you’ll become proficient in using Excel for currency conversion and other financial tasks, making you more productive and confident in your work.