Which Exchange Rate Should Be Used When Translating Revenue and Expense

question 20

Multiple Choice

Which exchange rate should be used when translating revenue and expense items in the statement of profit or loss and other comprehensive income into the functional currency?

• A) Current as at the end of the financial year.
• B) Calculated as the average between the rates at the start and end of the year.
• C) Current at the dates the applicable transaction occurred.
• D) None of the above.