Critically evaluate the problems associated with ias21

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Reference no: EM13215161

a, Critically evaluate the problems associated with IAS21 in respect of exchange rate differences.
b, Explain how this might affect the quality of decision useful information for shareholders.

2. IAS 21 requires that the temporal and net investment methods are used upon the consolidation of foreign subsidiaries. You are required to critically evaluate the use of different exchange rates in the consolidation process and explain the impact this has on the financial statements.

Reference no: EM13215161

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