1. Overview
1.1. Reporting currency
1.1.1. the currency that the reporting entity uses to prepare its financial statements
1.2. Foreign currency
1.2.1. Any other currency used by an entity of this same multinational firm in its financial statements
1.3. Integrated foreign entity
1.3.1. If the foreign subsidiary operates as an extension of the parent company’s operations.
1.4. Foreign Entity
1.4.1. Any distinct or separable business that prepares its financial statements in any currency other than the reporting currency of the parent company
1.5. Integrated foreign entity
1.5.1. If the foreign subsidiary operates as an extension of the parent company’s operations
1.6. Separable operation
1.6.1. If the foreign subsidiary operates completely separately from the parent company.
1.7. Functional Currency
1.7.1. the currency of the primary economic environment in which the subsidiary operates.
1.7.1.1. Vòng đồng tiền chức năng được sử dụng theo một thể thống nhất trong báo cáo hợp nhất từ cty mẹ đến cty con ở các thị trường
1.8. Remeasurement
1.8.1. reporting currency = functional currency
1.9. Translation
1.9.1. reporting currency ≠ functional currency
2. Translation method
2.1. Local = Functional = U.S. dollars
2.1.1. Remeasure to US dollars (
2.2. Local = Functional # USD
2.2.1. Translate to US (current rate method)
2.3. Local # Functional # USD
2.3.1. Remeasure from foreign (local) currency to functional (temporal)
2.3.1.1. Translate to US (Current rate)
2.4. Local # Functional = USD
2.4.1. Remeasure to US (temporal)
2.5. Functional # Local = USD
2.5.1. Translate to USD