Translation gains method

therecruit

Gain/Loss on Translation for each method:
Current=>Goes in Shareholder Equity as CTA
Temporal=>Goes into the I/S as ???

ryanlb

Temporal=>Goes into the I/S as G/L from currency exchange just before NI.

Otabek

temporal goes on IS, but when translating, the "plug" to find the amount is:

BoP RE (translated) + Net Income (translated) + currency G/L = EoP RE (translated)

the EoP RE solves the equation so that A = L+SE

In the Current method. The plug is just the translated amount that goes into Equity to make everything balance.

kkn006

ty



Edited 1 time(s). Last edit at Sunday, May 29, 2011 at 08:05PM by PC79.