Abstract
Foreign currency translation is used to convert the results of a parent company’s foreign subsidiaries to its reporting currency. This is a key step in the consolidation of financial statement. The functional currency in which a business reports its financial results should rarely change. A shift to a different functional currency should be used only when there is a significant change in the economic facts and circumstances.
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Lessambo, F.I. (2018). Foreign Currency Accounting. In: Financial Statements. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-319-99984-5_19
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DOI: https://doi.org/10.1007/978-3-319-99984-5_19
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