Which of the Following Is an Indication That the Functional

Multiple Choice

Which of the following is an indication that the functional currency of a foreign subsidiary is not the Canadian dollar?

A) Only goods imported from the parent are sold by the subsidiary.
B) The parent dictates the subsidiary's operating procedures.
C) Cash to pay obligations is generated by local operations or borrowed from local lenders.
D) Intercompany transactions account for a high proportion of the subsidiary's overall activities.