The exchange gain or loss on repatriated funds from a foreign branch is calculated by multiplying the nominal amount of the funds by:
A) the difference between the exchange rate at the beginning of the year and the exchange rate at the end of the year.
B) the difference between the exchange rate on the date of repatriation and the exchange rate used to translate the branch's pretax income.
C) the difference between the current exchange rate and the exchange rate at the end of the year.
D) the difference between the exchange rate on the date of repatriation and the exchange rate at the beginning of the year.
Correct Answer:
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