The exchange rate used at the end of the reporting period is:
A) the spot rate.
B) the closing rate.
C) the ending rate.
D) the indirect rate.

Question

Quizplus · Accepted Answer

The closing rate is the exchange rate used at the end of the reporting period, which reflects the value of the foreign currency at that point in time. The spot rate and ending rate may also be used, but they may not accurately reflect the currency value at the end of the reporting period. The indirect rate is not relevant in this context.

The Exchange Rate Used at the End of the Reporting