Question 10 1 pts If a parent company has a decentralized subsidiary in a country where the cumulative rate of inflation for the past three years is more than 100 percent, which translation methodology would they use according to the IASC? O the current rate method. O the temporal method. O the temporal method after adjusting for inflation. O the current rate method after adjusting for inflation. O None of the aboveQuestion 11 1 pts If a parent company has a decentralized subsidiary in a country where the cumulative rate of inflation for the past three years is more than 100 percent, which translation methodology would they use according to the US GAAP? O the current rate method after adjusting for inflation. None of the above the temporal method. the temporal method after adjusting for inflation. O the current rate method.Question 12 1 pts Which one of the following items om the nancial statements of a foreign subsidiary (local currency is functional currency) would be translated into dollars using the historical exchange rate: Q inventories priced at the lower of cost or market 0 accounts payable 0 amortization of bond premium 0 common stock Question 13 An exchange gain from translation of a foreign entity's financial statements, using Current Rate method, should be: O included as a separate item in the equity section of the balance sheet O deferred and amortized over a period not to exceed 40 years O included in net income in the period it occurs O deferred until a subsequent year when a loss occurs that can offset against itQuestion 14 1 pts After eliminating/adjusting entries are prepared, what was the intercompany sale impact on the consolidated financial statements for the year ended December 31, 2014? O Consolidated Net Income Consolidated Net Assets No effect No effect O Consolidated Net Income Consolidated Net Asset No effect Increased O Consolidated Net Income Consolidated Net Asset Decreased Decreased O None of the above. O Consolidated Net Income Consolidated Net Asset Decreased No effectQuestion 8 1 pts A subsidiary's functional currency is the local currency, which has not experienced significant inflation. Which exchange rate should be used in expressing the following accounts in dollars? O Accounts Plant and Receivable Equipment Historical Historical O Accounts Plant and Receivable Equipment Historical Current O None of the above O Accounts Plant and Receivable Equipment Current Historical O Accounts Plant and Receivable Equipment Current CurrentQuestion 9 An exchange gain from remeasurement of a foreign entity's financial statements should be: O deferred until a subsequent year when a loss occurs that can offset against itheet O deferred and amortized over a period not to exceed 40 years O included in net income in the period it occurs O included as a separate item in the equity section of the balance s