I am keeping track of my personal finances in a physical accounting journal. At a currency exchange desk, I converted 100 CAD into 75 USD. How should I record this transaction in my journal? In double-entry accounting, the debits and credits must balance, but my journal entry below does not balance.
|Cash — USD||75|
|Cash — CAD||100|
How should I journalize the currency conversion so that the debits and credits will balance?