Scott, the CFO at ABC Company in the USA, wants to present the annual income statement to
the board of directors of the company. ABC Company engages in many exports and import
activities and follows the policy to revalue all its transactions in foreign currency with the current
market rates. Scott requests George, the head accountant of the company, to revalue all foreign
currency transactions done during the year. Select two prerequisites that George must comply
with to ensure that the revaluation is done as desired. (Choose two.)
A.
Define accounts for realized gains and realized losses.
B.
Define accounts for unrealized gains and unrealized losses.
C.
Define the weights for each currency used for doing transactions.
D.
Define a batch under which the revaluation journals would be stored.
E.
Define a revaluation rate for each currency for each period or date for which the revaluation
must be run.