The home currency is set as Indian Rupee, denominated in USD, is that correct?  I've never seen Sage books set up with different Home and Denomination currencies.

I can't see the exchange rates previously entered, and the screenshot images are too low a resolution, so can't tell you exactly what arithmetic took place. 

Journal entries are visible by pressing control-J in most entry screens. 

Yes, that is correct. we opened this account for Branch office in Bhutan and since the currency value for Bhutan and India are same we used Indian Rupees and for denomination we used USD as our main foreign currency for that account is USD.

there will be no exchange rate as the expenses are incurred in Indian rupees and our home currency is Rupees to. 

it had no problem for one year and it occurred recently so i am not sure what is happening . can you help me please. 

Tandin Phurba said:

main foreign currency for that account is USD.

there will be no exchange rate as the expenses are incurred in Indian rupees and our home currency is Rupees to. 

I would think there would be an exchange calculation, from the 'home' stored amounts to the 'denomination' displayed currency value. 

Tandin Phurba said:

it had no problem for one year and it occurred recently so i am not sure what is happening . can you help me please.

Probably not from here, except to suggest looking at an older restored copy to see what the settings are, and looking more carefully at the exchange rates.