A Useful Technique That Can Be Used for Gathering External

question 10

Multiple Choice

A useful technique that can be used for gathering external information is known as

• A) in-sourcing.
• B) outsourcing.
• C) benchmarking.
• D) invoicing.

---

Definitions:

Functional Currency

The primary currency used by a business or entity in its operations and financial reporting.

Translation Rate

The exchange rate used in translating the financial statements of a foreign entity into the functional currency for reporting purposes.

Functional Currency

The currency of the primary economic environment in which an entity operates, typically used in preparing financial statements.

Translation Rate

The rate used to convert financial statements of a foreign operation into the presentation currency of the reporting entity.