In translating the financial statements of a foreign subsidiary into the parent’s reporting currency under the current rate method, which of the following statements is true? 

a. Expenses are translated using a combination of current and historical exchange rates.  

b. Intangible assets are translated at the historical exchange rates in effect on the date the assets are purchased.  

c. The translation adjustment is a function of the foreign subsidiary’s net assets.     

d. The translation adjustment is a function of the relative amount of monetary assets and monetary liabilities held by the foreign subsidiary.