Question
When translating the financial statements of a foreign operation to presentation currency, which of the following statements is correct with respect to foreign currency translation
When translating the financial statements of a foreign operation to presentation currency, which of the following statements is correct with respect to foreign currency translation reserve? Foreign currency translation reserve arises due to: A) All assets and liabilities of the foreign subsidiary being translated at the reporting date spot rate B) Share capital translated using the rate in place when the investment was acquired, while retained earnings is the balance provided from the income statement C) Translation gain, which does not go to income statement, remains part of equity D) All of the above
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