It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss. Appropriate exchange rate for the given transaction.

Question

Want to see the full answer?

Answer 1

Question

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Need help with this question solution general accounting

Give the Earned Commission

calculate gross profit? find out this account questions answer

Answer 2

Question

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Answer 6

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

Answer 7

Chapter 12, Problem 12.32P

(a)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Appropriate exchange rate for the given transaction.

Answer 8

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

Answer 9

(b)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

The direct exchange rate for January 1, 20X4.

Answer 10

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Answer 11

(c)

To determine

Introduction: It is the method used to convert financial results of the business of subsidiary company into the functional currency of parent company. Gain or loss arise due to sale or purchase of goods and services in a foreign currency is known as foreign currency transaction gain or loss.

Whether U.S dollar strengthened or weakened against the local currency unit during 20X4.

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 12 - Prob. 12.1Q Ch. 12 - Prob. 12.2Q Ch. 12 - Prob. 12.3Q Ch. 12 - How widely used are IFRS? Can IFRS be used for...Ch. 12 - Prob. 12.5Q Ch. 12 - Prob. 12.6Q Ch. 12 - Prob. 12.7Q Ch. 12 - Prob. 12.8Q Ch. 12 - Prob. 12.9Q Ch. 12 - Prob. 12.10Q

Solution Summary: The author explains the method used to convert financial results of the business of subsidiary company into the functional currency of parent company.

Want to see the full answer?

Chapter 12 Solutions