Which of the Following Applies to the U

question 83

Multiple Choice

Which of the following applies to the U.S. dollar orientation approach to the translation of foreign operations?

• A)It requires an enterprise to account for foreign operations as if those operations actually occurred in U.S. dollars.
• B)It recognizes that the foreign operations occurred in a foreign currency and that those operations may not affect U.S. dollars.
• C)Foreign currency denominated assets, liabilities, revenues, and expenses are assumed to be measured in the foreign currency but are translated to U.S. dollars for reporting purposes.
• D)The effects of changing exchange rates are not reported in income until the net assets are exchanged.

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Definitions:

Plumbers

Skilled tradespeople who install, maintain, and repair water, gas, and other piping systems in homes and businesses.

Factor Market

The marketplace for services of factors of production (like labor, land, and capital) where firms buy resources needed to produce goods and services.

Electricians

Skilled workers specialized in installing, maintaining, and repairing electrical systems and equipment.

Demand for Labor

The total amount of workers that employers want to hire at a given wage rate.