1342_IM_Word_docsM13_EITE1342_12E_IM_C13课件.docVIP

Chapter 13Translation Exposure (Questions 13-1. By Any Other Name. What does the word translation mean? Why is translation exposure sometimes called accounting exposure? Translation refers to the process by which the financial statements of separately incorporated subsidiaries are added to the financial statements of a parent in order to prepare a consolidated financial statement that will reflect the economic reality of the entire enterprise, rather than just the financial status of one separately incorporated segment. Consolidation of domestic subsidiaries (same country as parent) is sim