FASB Standard No. 52 mandates that U.S.-based companies must translate their foreign-currency-denominated assets and liabilities into dollars using the ________.
A) historical rate
B) current rate
C) average rate
D) rate prescribed by the SEC

Question

Quizplus · Accepted Answer

FASB Standard No. 52 requires the use of the current exchange rate to translate foreign-currency-denominated assets and liabilities into dollars. This means that the exchange rate in effect on the balance sheet date should be used.