Multiple choice technology packaged enterprise solutions

___________process reviews the foreign currency balance, reconverts the functional currency using the revaluation rate, creates a journal entry to adjust the functional balance to the reconverted amount

  1. A. Consolidation

  2. B. Revaluation

  3. C. Translation

  4. D. None of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Revaluation is correct because it specifically reviews foreign currency balances, reconverts them using period-end rates, and creates journal entries to adjust the functional currency balances. Translation converts entire financial statements to another currency for consolidation. Consolidation combines financial statements.

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