Question 1

The organization that establishes international accounting standards is the ______________________________.

Accepted Answer

International Accounting Standards Board

Question 2

The pronouncements of the International Accounting Standards Board are called ___________________________________.
Exchange Rates

Accepted Answer

International Accounting Standards

Question 3

Currencies are ___________________________________.

Accepted Answer

commodities

Question 4

The actual changing of one currency into another currency is called ____________ ___________________________________.

Accepted Answer

The answer of The actual changing of one currency into...

Question 5

The process of expressing amounts stated in one currency in terms of another currency through the use of an appropriate currency exchange rate between the two currencies is called ______________________________.

Accepted Answer

The answer of The process of expressing amounts stated in...

Question 6

The number of units of a foreign currency needed to acquire one unit of the domestic currency is referred to as the _______________________________________ quotation of the exchange rate.

Accepted Answer

The answer of The number of units of a foreign...

Question 7

The number of units of a domestic currency needed to acquire one unit of the foreign currency is referred to as the _______________________________________ quotation of the exchange rate.

Accepted Answer

The answer of The number of units of a domestic...

Question 8

Exchange rates that are determined by market conditions are termed ___________ ___________________________ or _________________________________ rates.

Accepted Answer

The answer of Exchange rates that are determined by market...

Question 9

The exchange rate for immediate delivery of currencies exchanged is the ________ ________________________________ rate.
Causes of Exchange Rate Changes

Accepted Answer

The answer of The exchange rate for immediate delivery of...

Question 10

The primary long-run cause of exchange rate changes is attributable to _________ __________________________________.

Accepted Answer

The answer of The primary long-run cause of exchange rate...

Question 11

A theory that explains long-run changes in exchange rates is called _____________ _____________________________.
Importing and Exporting Transactions

Accepted Answer

The answer of A theory that explains long-run changes in...

Question 12

When a transaction is to be settled by the receipt or payment of a fixed amount of a specified currency, the receivable or payable, respectively, is said to be __________________________________________ in that currency.

Accepted Answer

The answer of When a transaction is to be settled...

Question 13

A party to a foreign transaction _________________________________________ and records the transaction in the currency of the country in which the party is located.

Accepted Answer

The answer of A party to a foreign transaction _________________________________________...

Question 14

When a domestic exporter is to receive payment in a foreign currency at a date later than the transaction date, the domestic exporter is said to be in a(n) _________________________________________.

Accepted Answer

The answer of When a domestic exporter is to receive...

Question 15

When a domestic importer is to make payment in a foreign currency at a date later than the transaction date, the domestic importer is said to be in a(n) ________________________________________.

Accepted Answer

The answer of When a domestic importer is to make...

Question 16

The date at which a transaction to import or sell inventory is recorded is called the ________________________________.

Accepted Answer

The answer of The date at which a transaction to...

Question 17

In settling foreign currency transactions, companies usually use _______________ __________________________________.

Accepted Answer

The answer of In settling foreign currency transactions, companies usually...

Question 18

International accounting standards are promulgated by the International Organization of Securities Commissioners.

Accepted Answer

International accounting standards are promulgated by the International Accounting Standards Board (IASB), not the International Organization of Securities Commissioners (IOSCO).

Question 19

U.S. accounting standards currently do not comply with international accounting standards in all areas.

Accepted Answer

U.S. accounting standards, primarily governed by Generally Accepted Accounting Principles (GAAP), differ in several areas from International Financial Reporting Standards (IFRS), leading to non-compliance in certain aspects.

Question 20

In general, international accounting standards are more demanding than U.S. accounting standards.

Accepted Answer

International accounting standards (IFRS) and U.S. accounting standards (GAAP) differ in many ways, but one is not universally more demanding than the other; the complexity and rigor depend on the specific accounting issue at hand.

Quiz 13: International Accounting Standards & Translating Foreign Currency Transactions

The organization that establishes international accounting standards is the ______________________________.

The pronouncements of the International Accounting Standards Board are called ___________________________________. Exchange Rates

Currencies are ___________________________________.

The actual changing of one currency into another currency is called _______________________.

The process of expressing amounts stated in one currency in terms of another currency through the use of an appropriate currency exchange rate between the two currencies is called ______________________________.

The number of units of a foreign currency needed to acquire one unit of the domestic currency is referred to as the _______________________________________ quotation of the exchange rate.

The number of units of a domestic currency needed to acquire one unit of the foreign currency is referred to as the _______________________________________ quotation of the exchange rate.

Exchange rates that are determined by market conditions are termed _ _ or _________________ rates.

The exchange rate for immediate delivery of currencies exchanged is the ________________________ rate. Causes of Exchange Rate Changes

The primary long-run cause of exchange rate changes is attributable to _ __________________________.

A theory that explains long-run changes in exchange rates is called _ _________________. Importing and Exporting Transactions

When a transaction is to be settled by the receipt or payment of a fixed amount of a specified currency, the receivable or payable, respectively, is said to be __________________________________________ in that currency.

A party to a foreign transaction _________________________________________ and records the transaction in the currency of the country in which the party is located.

When a domestic exporter is to receive payment in a foreign currency at a date later than the transaction date, the domestic exporter is said to be in a(n) _________________________________________.

When a domestic importer is to make payment in a foreign currency at a date later than the transaction date, the domestic importer is said to be in a(n) ________________________________________.

The date at which a transaction to import or sell inventory is recorded is called the ________________________________.

In settling foreign currency transactions, companies usually use _ ____________________.

International accounting standards are promulgated by the International Organization of Securities Commissioners.

U.S. accounting standards currently do not comply with international accounting standards in all areas.

In general, international accounting standards are more demanding than U.S. accounting standards.

Quiz 13: International Accounting Standards & Translating Foreign Currency Transactions

The organization that establishes international accounting standards is the ______________________________.

The pronouncements of the International Accounting Standards Board are called ___________________________________. Exchange Rates

Currencies are ___________________________________.

The actual changing of one currency into another currency is called ____________ ___________________________________.

The process of expressing amounts stated in one currency in terms of another currency through the use of an appropriate currency exchange rate between the two currencies is called ______________________________.

The number of units of a foreign currency needed to acquire one unit of the domestic currency is referred to as the _______________________________________ quotation of the exchange rate.

The number of units of a domestic currency needed to acquire one unit of the foreign currency is referred to as the _______________________________________ quotation of the exchange rate.

Exchange rates that are determined by market conditions are termed ___________ ___________________________ or _________________________________ rates.

The exchange rate for immediate delivery of currencies exchanged is the ________ ________________________________ rate. Causes of Exchange Rate Changes

The primary long-run cause of exchange rate changes is attributable to _________ __________________________________.

A theory that explains long-run changes in exchange rates is called _____________ _____________________________. Importing and Exporting Transactions

When a transaction is to be settled by the receipt or payment of a fixed amount of a specified currency, the receivable or payable, respectively, is said to be __________________________________________ in that currency.

A party to a foreign transaction _________________________________________ and records the transaction in the currency of the country in which the party is located.

When a domestic exporter is to receive payment in a foreign currency at a date later than the transaction date, the domestic exporter is said to be in a(n) _________________________________________.

When a domestic importer is to make payment in a foreign currency at a date later than the transaction date, the domestic importer is said to be in a(n) ________________________________________.

The date at which a transaction to import or sell inventory is recorded is called the ________________________________.

In settling foreign currency transactions, companies usually use _______________ __________________________________.

International accounting standards are promulgated by the International Organization of Securities Commissioners.

U.S. accounting standards currently do not comply with international accounting standards in all areas.

In general, international accounting standards are more demanding than U.S. accounting standards.

The actual changing of one currency into another currency is called _______________________.

Exchange rates that are determined by market conditions are termed _ _ or _________________ rates.

The exchange rate for immediate delivery of currencies exchanged is the ________________________ rate. Causes of Exchange Rate Changes

The primary long-run cause of exchange rate changes is attributable to _ __________________________.

A theory that explains long-run changes in exchange rates is called _ _________________. Importing and Exporting Transactions

In settling foreign currency transactions, companies usually use _ ____________________.