Under FAS 52, it may be necessary in some cases to use the remeasurement process and then the translation process for a specific foreign unit.

Question

Quizplus · Accepted Answer

Under FAS 52 (ASC 830), when a foreign entity operates in a highly inflationary economy, the functional currency is the reporting currency (usually USD), requiring remeasurement of the foreign entity's financial statements into the functional currency first, followed by the translation process if the reporting currency is different.

Under FAS 52, It May Be Necessary in Some Cases