When using Xero Expenses, what does tracking mileage automatically calculate?

In Xero Expenses, the feature that tracks mileage is designed to automatically calculate the total expense incurred for mileage based on the distance traveled. This calculation typically factors in the reimbursement rate set by the organization, which can be influenced by various factors such as fuel costs and vehicle type.

When tracking mileage, the specific answer focuses on how those calculated mileage expenses are reflected in the organization’s base currency. This means that the system takes the distance and applies the appropriate conversion to ensure that the total reflects the organization's primary currency, making it easier for businesses to manage their financial records and reimbursement processes.

The other options do not accurately reflect what the mileage tracking feature focuses on. For example, tracking the distance of all trips does not encompass the calculation of expenses in the organization’s currency, while future reimbursement limits and estimated vehicle maintenance costs are unrelated to the specific functionality of automatic mileage tracking in Xero Expenses.