Under FASB ASC 830, Foreign Currency Matters, what group is responsible for determining the functional currency of a foreign subsidiary for many cases?
A) Financial Accounting Standards Board
B) International Accounting Standards Board
C) Securities and Exchange Commission
D) Parent company management

Question

Quizplus · Accepted Answer

According to FASB ASC 830, the parent company management is primarily responsible for determining the functional currency of a foreign subsidiary. However, in some cases, external factors such as local government regulations or the parent company's reporting requirements may influence the determination of functional currency.

Under FASB ASC 830, Foreign Currency Matters, What Group Is