Question

In terms of translation (accounting) exposure, assets or liabilities are "exposed" if their value drops if...

  1. In terms of translation (accounting) exposure, assets or liabilities are "exposed" if their value drops if the functional currency of an affiliate depreciates against the dollar. Exposed assets minus exposed liabilities equals:  

    Net Exposed Assets.

    Capital Surplus

    Forward asset deficit

    Consolidated Asset Margin

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Your required answer is option A i.e Net Exposed assets

An exposed asset is an asset whose value drops with the depreciation of the functional currency and rises with an appreciation of that currency Exposed assets minus exposed liabilities equals to Net Exposed Assets.

I hope this clear your doubt.

Feel free to comment if you still have any query or need something else. I'll help asap.

Do give Thumbs up if you find this helpful.

Add a comment
Know the answer?
Add Answer to:
In terms of translation (accounting) exposure, assets or liabilities are "exposed" if their value drops if...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Hi, i have 2 cases and would be really appreciate if you can help me to...

    Hi, i have 2 cases and would be really appreciate if you can help me to answer it, the first case is already answered and i am wondering is it gonna be same answer with the second case because in first case says Wesfarmers notes that the functional currency and presentation currency of Wesfarmers Ltd and its Australian subsidiaries are the Australian dollar while in the second case it says Wesfarmers lists its overseas subsidiaries and their functional currencies which...

  • miting oneself to an uncertain fature value of one's out worth ia terms of horme A....

    miting oneself to an uncertain fature value of one's out worth ia terms of horme A. Selling B. Hedging C Speculating D. ollowing groups is most likely to benefit from a 7. Which of the against major currencies? ( from a strengthening of the U.S. dollar A. U.S, exporters B. U.S. govermment C. U.S. consumers D. Foreign consumers f the following mechanisms is NOT an automatic adjutment of the current secount in fixed exchange rate system?( ) A. price adjustments...

  • 1) The traditional accounting model delays the recognition of value changes of assets and liabilities until...

    1) The traditional accounting model delays the recognition of value changes of assets and liabilities until what event occurs? a. A change in value. b. A market transaction. c. A balance sheet date. d. Cash is received or cash is paid. 2)Which of the following is not one of methods used by GAAP for treating value changes? a. Recognize value changes on the balance sheet and income statement when they are realized in a market transaction b. Recognize value changes...

  • 2 4 5 6 8 Quantity If the world price is $6, the producer surplus with...

    2 4 5 6 8 Quantity If the world price is $6, the producer surplus with trade equals OOOO QUESTIONS If the world price is above the domestic price. With trade, 0 The consumer surplus increases, the producer surplus decreases, and the country will export the product. 0 The consumer surplus increases, the producer surplus decreases, and the country will import the product. 0 The consumer surplus decreases, the producer surplus increases, and the country will export the product. 0...

  • Fair Value Measurements The fair values of our financial assets and liabilities as of December 26,...

    Fair Value Measurements The fair values of our financial assets and liabilities as of December 26, 2015 and December 27, 2014 are categorized as follows: 2015 2014 Assets(a) Liabilities(a) Assets(a) Liabilities(a) Available-for-sale securities: Equity securities (b) $ 127 $ - $ 124 $ Debt securities (c) 7,231 - 3,167 $ 7,358 $ - $ 3,291 $ Short-term investments (d) $ 193 $ - $ 197 $ - Prepaid forward contracts (e) $ 27 $ - $ 26 $ Deferred compensation...

  • mancial institution has the following market value balance sheet structure: Assets Cash Bond Total assets Liabilities...

    mancial institution has the following market value balance sheet structure: Assets Cash Bond Total assets Liabilities and Equity $ 1,000 Certificate of deposit $10,000 10,000 Equity 1,000 $11,000 Total liabilities and equity $11,000 . The bond has a 10-year maturity, a fixed-rate coupon of 10 percent paid at the end of each year, and a par value of $10,000. The certificate of deposit has a 1-year maturity and a 6 percent fixed rate of interest. The Flexpects no additional asset...

  • I am working on doing an analysis of a company for my accounting class. can you...

    I am working on doing an analysis of a company for my accounting class. can you please review what I have and correct what I have wrong. Also, Help me with the ones I have left blank as I can not find the right information to solve these. Thank you so much!! Ratio: Formula: Year: Formula: Total: Current Ratio: Current Assets / Current Liabilities 2018 566,951 / 379,743 1.49 Acid-Test Ratio Cash + Short- Term Investments + Current Receivables /...

  • Question: 1. An economic advantage of a business combination includes Acquiring duplicative assets Creating redundant management...

    Question: 1. An economic advantage of a business combination includes Acquiring duplicative assets Creating redundant management teams Coordinating marketing campaigns Duplicating integrative marketing chains QUESTION 2 The consolidation process is performed each year since the entries are recorded in the journal and ledger only by the parent company each year since the entries are recorded in the journal and ledger only by the subsidiary company each year since the entries are recorded in the journal and ledger by both the...

  • Bestvalue Airlines’ June 1, 2020 balance sheet is as follows (in thousands): Assets Liabilities & Equity...

    Bestvalue Airlines’ June 1, 2020 balance sheet is as follows (in thousands): Assets Liabilities & Equity Cash $ 1,400 Current liabilities $ 3,200 Receivables 650 Long-term debt 5,000 Investments 1,000 Common stock, $0.01 par 1 Maintenance supplies 150 Additional paid-in capital 5,500 Flight equipment (net of $2,000 accumulated depreciation) 8,500 Retained earnings (deficit) (2,300) International routes 700 Accumulated other comprehensive income 1,999 ______ Treasury stock    (1,000) Total assets $12,400 Total liabilities & equity $12,400 Safebuy Airlines acquired Bestvalue on...

  • Describe/ Explain the financial numbers in the attached Coca Cola report such as EPS, EBIT,assets, liabilities,...

    Describe/ Explain the financial numbers in the attached Coca Cola report such as EPS, EBIT,assets, liabilities, and other financial numbers. (For example explain if the company is doing good or bad based on the number from previous year 2016-2015). explain how the financial numbers are used in the strategic planning process as related to the products sold and markets the sell into? THE COCA-COLA COMPANY AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME 2016 2015 2014 (In millions except per share data)...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT