TempV Current rate method dollars, current, question, methods

mkytz15

this is just part of the information in the question

Exchange rates

1 Jan x1= Yen 100 per $
31 Dec x1 Yen 125 per $
Average Yen 111 per dollar

Sales= Y500,000

Reported sales in dollars will be:

a. $4505 under both temporal and current rate methods
b. $4505 under temporal and $500,000 under current rate method





Stalla says (a) could some please help why not (b)

liquidity

Revenues translated under average rate in both temporal and current.

500K/111 = $4505 in both

bdavi77962

would yelp in excitement if that kind of question came up on the exam!...doubtful though