Handbooks | January 2024

Insight

Handbook: Foreign currency

Latest edition: Our in-depth guide on accounting for foreign currency matters.

Mark Northan

Mark Northan

Partner, Dept. of Professional Practice, KPMG US

+1 212-954-6927

Danielle Imperiale

Danielle Imperiale

Managing Director, Dept. of Professional Practice, KPMG US

+1 212-954-3866


Our comprehensive handbook provides detailed guidance and interpretations of ASC 830, with illustrative examples and Q&As.

Applicability

  • Companies that have transactions denominated in a foreign currency
  • Companies that have operations in a foreign currency environment

Key impacts

Among other things, this January 2024 edition incorporates new or additional guidance on:

  • Items to consider if an entity holds an investment in an entity domiciled in a country with significant economic and political uncertainty
  • When a preference exchange rate is appropriate to use for remeasurement  
  • Why certain unofficial rates, such as blue-chip rates, are not considered exchange rates
  • Disclosure considerations when a foreign entity operates in a country with multiple exchange rates

Report contents

  • Overview of accounting for foreign currency
  • Functional currency
  • Foreign currency transactions
  • Translation of foreign currency financial statements
  • Foreign currency derivatives and hedging foreign currency risk
  • Presentation and disclosures 

Related content

Subscribe to our newsletter

Receive timely updates on accounting and financial reporting topics from KPMG.

Receive timely updates on accounting and financial reporting topics from KPMG.

Accounting Research Online

Access our accounting research website for additional resources for your financial reporting needs.

Access our accounting research website for additional resources for your financial reporting needs.