Under the temporal method, inventory at market would be remeasured at what rate?
A) Beginning of the year rate.
B) Average rate.
C) Current rate.
D) Historical rate.
E) Composite amount.

Question

Quizplus · Accepted Answer

Under the temporal method, inventory at market is remeasured at the current rate. The current rate reflects the current exchange rate at the balance sheet date, and it is used to remeasure monetary assets and liabilities as well as inventory at market.

Under the Temporal Method, Inventory at Market Would Be Remeasured