under all current method: for balance sheet item, should we use historical exchange rate or current exchange rate to translate contributed capital? Thanks.
Income Statement: Weighted Avg. Exchange Rate. Balance Sheet --> Assets and Liabilities are translated at the Current Exchange Rates. Capital Stocks and Issuance --> are translated at the Exchange rate as of the date of issuance. Remember: RE End = RE Beginning + NI - Dividends CTA (Cum. Translation Adjustment) ==> Reported as a part of Shareholder’s equity. It is treated as Unrealized Gains / Losses (and is A PLUG Value). CP