In accounting for a foreign currency option used as a cash flow hedge of a foreign currency denominated asset or liability, the change in the time value of the option is recognized as Multiple choice question. an expense in net income over the life of the option. an adjustment to the carrying amount of the foreign currency denominated asset or liability. a component of other comprehensive income on the date the option expires.

Answer rating: 100% (QA)

The change in the time value of a foreign currency opti... View the full answer