functional currency
Foreign Subsidiary Consolidation: Why Profit Changes on Translation and Where the Difference Goes
The group finance director of a UK consumer goods company received the monthly flash report from her German subsidiary. SalesCo…
AASB 121 Foreign Currency Translation: A Practical Guide for Australian Multi-Entity Groups
When the auditors reviewed the consolidated accounts of an Australian technology services group, they raised a flag on the New…
IAS 21 Foreign Currency Translation: The IFRS Guide for Multi-Entity Groups
The group’s year-end accounts showed a consolidated loss in other comprehensive income of £2.3 million that nobody in the audit…
US GAAP Foreign Currency Translation: A Practical Guide to ASC 830 for Multi-Entity Groups
The Australian subsidiary had been running profitably for three years. In its own accounts, denominated in Australian dollars, it had…
Why Every Entity Hit Its Target — But Your Consolidated E-commerce P&L Is Down
David is the CFO of a four-entity e-commerce group that sells lifestyle products across the UK, US, EU, and Australia.…
Currency Translation Under IAS 21, ASC 830 and FRS 102: What Changes Across Standards
The group had three subsidiaries in three countries, each reporting under a different accounting standard. The UK holding company reported…