The Underlying Principle of the Monetary/nonmonetary Method Is

question 17

Multiple Choice

The underlying principle of the monetary/nonmonetary method is

• A)assets and liabilities should be translated based on their maturity.
• B)monetary accounts have a similarity because their value represents a sum of money whose currency equivalent after translation changes each time the exchange rate changes.
• C)monetary accounts are translated at the current exchange rate; other accounts are translated at the current exchange rate if they are carried on the books at current value; items carried at historical cost are translated at historic exchange rates.
• D)all balance sheet accounts are translated at the current exchange rate,except for stockholders' equity.A "plug" equity account,named cumulative translation adjustment (CTA),is used to make the balance sheet balance,since translation gains or losses do not go through the income statement according to this method.

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Definitions:

Psychoneuroimmunology

An interdisciplinary field that studies the interaction between psychological processes, the nervous system, and the immune system, and their effects on health.

Prevalence

The proportion of a population found to have a condition or disease at a specific time.

Incidence

The frequency of emerging instances of an illness or condition within a particular group of people over a set timeframe.

Independent Variable

In an experiment or clinical trial, the variable that represents the presumed cause of an effect or outcome.