Question
Under the translation method required by AASB 121, the approach to translating a foreign operation's accounts (from a functional currency into a presentation currency) includes:
Under the translation method required by AASB 121, the approach to translating a foreign operation's accounts (from a functional currency into a presentation currency) includes:
A.Translating post-acquisition changes in share capital and reserves (excluding retained
earnings/accumulated losses) at the spot rate at the date when they were recognised in the accounts.
B.Translating non-monetary assets at the spot exchange rate at the date of the purchase transaction.
C.Translating revenue and expense items at the exchange rate current at reporting date where the revenues
and expense transactions have been evenly distributed over the period.
D.Translating proposed distributions from retained profits at the exchange rate current when the distributions
are completed in cash.
E.All of the given answers.
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