Pwc's Cfodirect Podcast

Did you enjoy this episode? Text us your thoughts and be sure to include the episode name.We continue our miniseries on foreign currency accounting with an episode on foreign currency remeasurement and translation. Foreign currency measurement is the process by which an entity expresses transactions whose terms are denominated in a foreign currency in its functional currency. Foreign currency translation is the process of expressing a foreign entity’s functional currency financial statements in the reporting currency. In this episode, we discuss: 03:09 – An overview of the accounting for foreign currency remeasurement and translation05:56 – Measurement of foreign currency transactions09:56 – Exchange rate considerations22:26 – Translating financial statement of foreign entities 29:00 – Releasing cumulative translation adjustments (CTA)For more information see chapters 4 and 5 of our Foreign currency guide. Also, check out our other episode in this miniseries, Foreign currency accounting – Determining function