Explain the re-measurement and translation process, Financial Management

Assignment Help:

Explain the re-measurement and translation process within FASB 52 of translating into the reporting currency the books of a completely owned affiliate that keeps its books in the local currency of the country where it operates, which is different as compared to its functional currency.

Answer:  For a foreign entity which keeps its books in its local currency, which is dissimilar from its functional currency, the translation process as per to FASB 52 is to:  1st, re-measure the financial reports from the local currency into the functional currency by using the temporal method of translation, and 2nd, translate from the functional currency into the reporting currency by using the current rate method of translation.


Related Discussions:- Explain the re-measurement and translation process

Need for working capital, Along with the fixed capital nearly every Small-S...

Along with the fixed capital nearly every Small-Scale industries requires working capital though the extent of working capital requirement differs in different businesses. Working

Price volatility characteristic of bond with embedded option, The price of ...

The price of the embedded option comprises two components. The first is the value of the same bond assuming it has no embedded option (option-free bond), th

Computation of working capital, Will you please define the working capital ...

Will you please define the working capital and Calculation of working capital? I need urgent help in my assignment. help me!

Example on cash flow diagram, (a) A usual cash flow diagram will incorporat...

(a) A usual cash flow diagram will incorporate the following. If you are short the CDO and then you receive a fixed amount at the initial point t o . After that you make paymen

Financial plan , As starting a new business, is it better to leas or buy th...

As starting a new business, is it better to leas or buy the business venture?. what factors should be considered. (Knowing that the equity finance is $150,000 and $250,000 could be

Explain the various source of finance, Explain in detail various sources of...

Explain in detail various sources of finance. Which is the most appropriate one?

Find out the value of firm according to the mm approach, Example: - Two fir...

Example: - Two firm U as well as L is identical in every respect except that U is unlevered and L is levered. L has Rs. 20Lakh of 8% debt outstanding. The net operating income of b

What is risk adjusted discount rate, Q. What is risk adjusted discount rate...

Q. What is risk adjusted discount rate? The risk adjusted discount rate includes two rates viz (i) Risk-free rate: - Risk free rate is the usual rate or the usual discount r

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd