From the following, please identify the 2 statements that are true as well as the 2 statements that are false. A) The most common approach to translate budgets and compare a budget with actual performance uses the forecast rate. B) A major force leading to the convergence of accounting standards is the global separation of capital markets. C) For U.S. companies, foreign-currency-denominated receivables and payables give rise to exchange gains and losses only when the dollar weakens against the foreign currency D) According to the translation process in the United States, companies recast their financial statements consistent with U.S. GAAP, and then translate them into U.S. dollars
From the following, please identify the 2 statements that are true as well as the 2 statements that are false. A) The most common approach to translate budgets and compare a budget with actual performance uses the forecast rate. B) A major force leading to the convergence of accounting standards is the global separation of capital markets. C) For U.S. companies, foreign-currency-denominated receivables and payables give rise to exchange gains and losses only when the dollar weakens against the foreign currency D) According to the translation process in the United States, companies recast their financial statements consistent with U.S. GAAP, and then translate them into U.S. dollars
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
From the following, please identify the 2 statements that are true as well as the 2 statements that are false.
A) The most common approach to translate budgets and compare a budget with actual performance uses the forecast rate.
B) A major force leading to the convergence of accounting standards is the global separation of capital markets.
C) For U.S. companies, foreign-currency-denominated receivables and payables give rise to exchange gains and losses only when the dollar weakens against the foreign currency
D) According to the translation process in the United States, companies recast their financial statements consistent with U.S. GAAP, and then translate them into U.S. dollars
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education