Stephanie Co. has a foreign subsidiary in Germany Stephanie Co. concluded that the subsidiary's functional ourrency was the US dolar, Which one of the followng sttts wojustify this conclusion?OA Stephanie is located in the U.S.OB. Most of the subsidiary's sales and purchases were with companies in the U.S.OC Stephanie's other subsidiaries all had the dollar as their functional currencyOD. GAAP require that the subsidiary's functional currency must be the dollar if consolidated financial statements are to be preparedOE Stephanie's functional currency is the dollar and Stephanie is the parent

It is the currency of primary economic environment where the company operates. Indicators to…

Answered: Stephanie Co. has a foreign subsidiary…

Stephanie Co. has a foreign subsidiary in Germany Stephanie Co concuded that the subsidiary's functional ourency was the US. dular Whch one uf the l justify this conclusion?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Stephanie Co. has a foreign subsidiary in Germany Stephanie Co. concluded that the subsidiary's functional ourrency was the US dolar, Which one of the followng sttts wo
justify this conclusion?
OA Stephanie is located in the U.S.
OB. Most of the subsidiary's sales and purchases were with companies in the U.S.
OC Stephanie's other subsidiaries all had the dollar as their functional currency
OD. GAAP require that the subsidiary's functional currency must be the dollar if consolidated financial statements are to be prepared
OE Stephanie's functional currency is the dollar and Stephanie is the parent

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