Difference between Translation and Re-measurement of Foreign Financial Statement: Translation is most commonly used method and also called current rate method, Whereas Re-measurement is called temporal method. Translation is applied when local currency is equal to functional currency, Whereas Re-measurement is required only when functional currency is different from currency used to maintain books. : Preparationof schedule to calculate the translation adjustment to be reported in comprehensive income.

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Chapter 11, Problem 11.1.3P

To determine

Difference between Translation and Re-measurement of Foreign Financial Statement:

Translation is most commonly used method and also called current rate method, Whereas Re-measurement is called temporal method.

Translation is applied when local currency is equal to functional currency, Whereas Re-measurement is required only when functional currency is different from currency used to maintain books.

: Preparationof schedule to calculate the translation adjustment to be reported in comprehensive income.

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