Translating subsidiary earnings from a strong host currency into a weak home currency increases stated earnings in the home currency.

Name: Translating subsidiary earnings from a strong host currency into a weak home currency increases stated earnings in the home currency.
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Question

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When a subsidiary's earnings in a strong host currency are translated into the weaker home currency, the stronger currency's value results in more units of the weak currency, thus increasing the stated earnings in the home currency.

Translating Subsidiary Earnings from a Strong Host Currency into a Weak