Which accounts are translated using current exchange rates? All revenue and expenses All noncurrent assets and...

Which accounts are translated using current exchange rates?

All revenue and expenses All noncurrent assets and liabilities All assets and liabilities All current assets and liabilities Cash, receivables, and most liabilities.

Solutions

Expert Solution

Solution:

All assets and liabilities,

Using current rate method, All assets and liabilities are translated. It is the method of foreign currency translation. When converting foreign currencies to the firm's presentation currency, the assets and liabilities listed on the balance sheet are converted to the presentation currency using the spot exchange rate as of the date on the balance sheet.

Rest of the options are not comes under assets and liabilities category except revenue and expense.Revenue and expenses are essential for the creation of all those assets. Therefor perfect answer for the question is all assets and liabilities.

ekkarill92 answered 1 year ago

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