Under the current rate method,
A)income statement items are to be translated at the exchange rate at the dates the items are recognized.
B)since a is generally impractical, an appropriately weighted average exchange rate for the period may be used for translation.
C)all balance sheet accounts are translated at the current exchange rate, except stockholder equity.
D)all of the above

Question

Quizplus · Accepted Answer

Under the current rate method, income statement items are translated at the exchange rate at the dates the items are recognized. However, since this is generally impractical, an appropriately weighted average exchange rate for the period may be used for translation. Additionally, all balance sheet accounts are translated at the current exchange rate, except stockholder equity. Therefore, all of the above statements are true regarding the current rate method.

Under the Current Rate Method