Which of the Following Statements Accurately Describes the Manner in Which

question 33

Multiple Choice

Which of the following statements accurately describes the manner in which transactions must be translated under IAS 21 The Effects of Changes in Foreign Exchange Rates?

• A) All individual transactions must be translated into the functional currency of the reporting entity.
• B) All individual transactions must be converted into the local currency of the reporting entity.
• C) All individual transactions are to be reported into the currency of the jurisdiction where the majority of shareholders reside.
• D) All individual transactions may be reported into the currency of the country where the corporation does the majority of its business.