AASB 121 Requires That the Initial Recognition of a Foreign

question 27

Multiple Choice

AASB 121 requires that the initial recognition of a foreign currency transaction be:

• A) in the amount of the foreign currency.
• B) at the closing rate at balance date.
• C) at the rate the currency is expected to be exchanged at on the settlement date for the monetary asset or liability based on the current market price of futures contracts for the relevant foreign currency.
• D) at the spot rate at the date of the transaction.

---

Definitions:

Definition

The meaning, explanation, or clarity given to a word, phrase, or term.

Direct-Care Intervention

Hands-on health care and treatments provided directly to a patient by a healthcare professional, including assessments and personal care services.

Blood Glucose

The primary sugar found in the blood, which serves as the main source of energy for the body’s cells.

Individualized

Tailor-made or customized to meet the specific needs, preferences, or conditions of an individual, particularly in healthcare plans.