Bank of America's currency conversion fee is just 1%, but the foreign transaction fee of 2% means you're shelling out 3% extra for that latte in Milan.

After analyzing several different methods, the article puts forward another accounting dealing way on the profit and loss of conversion the foreign currency report forms.

The gap arising from the foreign exchange conversion of a sellable cash financial asset in any foreign currency shall be recorded into the profits and losses of the current period.