The Objective of Remeasurement Is To

question 9

Multiple Choice

The objective of remeasurement is to:

• A) produce the same results as if the books were maintained in the currency of the foreign entity's largest customer.
• B) produce the same results as if the books were maintained solely in the local currency.
• C) produce the same results as if the books were maintained solely in the functional currency.
• D) None of these.

---

Definitions:

Account

A record in financial accounting that tracks the increase and decrease of financial values, such as assets, liabilities, revenues, and expenses.

Revenues

The total income generated from normal business operations and before any expenses are subtracted.

Stockholders' Equity

The residual interest in the assets of a corporation that remains after deducting its liabilities. It represents ownership interest.

Statement

A document that presents an account of particular facts or events in detail.