The foreign exchange rate used to convert the foreign currency transaction into Canadian dollars is either;
· The rate in effect on the date of the transaction, or
· The average annual exchange rate for the taxation year
For more information on the exchange rates see; Bank of Canada Exchange Rates
2012 US Exchange Average Rate
The annual average rate for converting US dollars for 2012, as per the Bank of Canada, was 0.99958008 (0.98906920 for 2011). Converting US dollar amounts to Canadian dollars, multiply the US $ amount by 0.99958008.
For more information on monthly and annual exchange rates please visit: Bank of Canada