11. Under the current rate method, all the expenses are translated using some form of current-period exchange
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11. Under the current rate method, all the expenses are translated using some form of current-period exchange rate. Under the temporal method, some expenses such as salaries and utilities are translated using current rates but others, such as cost of goods sold and depreciation expense, use historical rates. Why are different rates used between the two methods? After all, they are all expenses.
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Related Book For
Advanced Accounting
ISBN: 9781292214597
13th Global Edition
Authors: Joseph H. Anthony, Bruce Bettinghaus, Floyd A. Beams, Kenneth Smith
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