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Presentation Currency
The currency in which a company's financial statements are presented, typically the national currency of the country where the company operates.
Financial Statements
Formal records of the financial activities and position of a business, person, or other entity, typically comprising the balance sheet, income statement, and cash flow statement.
Historical Rate
An exchange rate used to convert foreign currency amounts involved in a transaction to the functional currency at the date the transaction occurred.
Temporal Methods
An accounting technique used to convert the financial statements of a subsidiary into the parent company's presentation currency, applying exchange rates based on the timing of the underlying transactions.
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