Options:

• Method used to restate a foreign entitys financial statement when the local currency unit is the functional currency.
• Method used to restate a foreign entitys financial statements when the U.S. dollar is the functional currency.
• Currency of the environment in which an entity primarily generates and expends cash.
• Always the local currency unit of the foreign entity.
• Exchange rate at the end of the period.
• Exchange rate at the date of the asset acquisition or at the date of dividend declaration.
• Average exchange rate during the period.
• Periodic change in the cumulative translation adjustment.
• Method under which goodwill must be adjusted to the current exchange rate at the balance sheet date.
• Method under which goodwill is restated using the historical exchange rate.
• Increase in the Investment in Sub account.
• Decrease in the Investment in Sub account.

Problem 12-31 (Static) Matching Key Terms LO 12-1, 12-8 Match the items in the left-hand column with the descriptions/explanations in the right-hand column