Foreing branches-branches, Financial Accounting

FOREING BRANCHES

The head office my set up a branch in a foreign  country. IAS 21 requires that the results of that  foreign branch to be translated into the local currency for the purpose of preparing the financial  statements for the whole business.

There are two main ways of translating the results of the branch ;

  • The functional currency method. (formerly temporal method)
  • Presentation method (formerly closing rate or net investment method)

 

Posted Date: 12/12/2012 1:58:46 AM | Location : United States







Related Discussions:- Foreing branches-branches, Assignment Help, Ask Question on Foreing branches-branches, Get Answer, Expert's Help, Foreing branches-branches Discussions

Write discussion on Foreing branches-branches
Your posts are moderated
Related Questions
Both IRR and ROCE tenders a relative measure of return in percentage terms a feature that is seen as attractive to managers who may perhaps have difficulty in interpreting the abso

Q. What is Financial Statements? Financial Statements - Presentation of financial data involving BALANCE SHEETS, INCOME STATEMENTS and STATEMENTS OF CASH FLOW or any supporting

2 Individual Research Assignment This assignment is an individual assessment. The research and written submission should therefore be your own work. You will need to submit this as


Most firms build and keep inventories in the course of doing business. Manufacturing firms hold raw material, finished goods and spares and work in process in inventories. Financia

You are preparing and income statement and analysis of retained earnings for Pacioli Wholesale Corporation for the years ended June 30, 2011 and 2012 based on the following informa

ACCOUNTS REQUIRED This can be summarized depending on the nature of the situation. In a receivership you may be required to prepare a receivers receipt and payments. In the pro

What is the difference between financial statements prepared from the expanded accounting equation and those prepared from a trial balance?

Q. Show Advantages of financial intermediation? The advantages of financial intermediation are as follows Investors are able to pool their funds in a bank deposit account to

The December 31, 2005, balance sheet of Far Imports includes the following items: The bonds were issued on December 31, 2004, at 97, with Interest payable on June 30 and December 3