Under the Temporal Method of Consolidating Foreign Currency Financial Statements

question 56

Multiple Choice

Under the temporal method of consolidating foreign currency financial statements, what exchange rate should be used for translating the depreciation expense recorded by a subsidiary?

• A) Average rate
• B) Current rate
• C) Historical rate
• D) Forward rate

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Definitions:

Reinforcement Schedule

A plan or rule that determines the timing and frequency of reinforcement delivery to promote or maintain a desired behavior.

Organism

Any living entity that can function independently, ranging from microscopic bacteria to animals and plants.

Shaping

The process of eliciting a desired response by rewarding behaviors that are increasingly similar to that response.

Discrimination Training

A learning process where an organism is trained to respond differently to distinct stimuli.