IAS 21 Specifies That Post-Acquisition Movements in Equity Other Than

question 7

Multiple Choice

IAS 21 specifies that post-acquisition movements in equity other than retained profits or accumulated losses are translated at:

• A)the spot rate.
• B)the forward rate.
• C)the market rate.
• D)none of the given answers.

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Definitions:

Gross Profit

A company's revenue minus the cost of goods sold, which measures how much a company earns after deducting the costs associated with producing its products or services.

FIFO

"First In, First Out," an inventory valuation method where the first items placed in inventory are the first sold.

Gross Profit

The difference between sales revenue and the cost of goods sold, representing the basic profit from buying and selling goods or services.

LIFO Method

Last In, First Out method; an inventory valuation method where the last items placed in inventory are the first ones to be used or sold.