According to the current-rate method of translating foreign currency financial statements,
A) current assets and liabilities are translated at current exchange rates, and other assets, liabilities and owner's equity are translated at historical exchange rates.
B) only those assets carried at past exchange prices should be translated at the historical rate.
C) only owner's equity is translated at historical exchange rates.
D) translation losses are taken to income, but translation gains are deferred.

Question

Quizplus · Accepted Answer

Under the current-rate method, all assets and liabilities are translated at the current exchange rate, while owner's equity is translated at historical exchange rates.

According to the Current-Rate Method of Translating Foreign Currency Financial