Which of the Following Statements Is Correct

question 21

Multiple Choice

Which of the following statements is correct?

• A) Retained earnings are translated at the average exchange rate for the year.
• B) Capital stock of a foreign subsidiary is translated at the historical rate,that is,the rate prevailing on the date the subsidiary was acquired.
• C) Dividends are translated at the average exchange rate for the year.
• D) Assets and liabilities are translated at the historical rate prevailing when the subsidiary was acquired.

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Definitions:

Appearance

The way that someone or something looks to others, encompassing aspects of physical presentation and style.

Cognitive Development

The study of how thinking, problem solving, and understanding of the world evolve from infancy through adulthood, influenced by genetics, experience, and education.

Preoperational

The Preoperational stage is the second stage in Piaget's theory of cognitive development, occurring from ages 2 to 7, where children begin to engage in symbolic play but lack the ability to perform operations or see things from the perspective of others.

Words

Symbols or combinations of letters that represent or convey meaning in spoken or written language.