{"schema_version":2,"canonical_url":"https://asc.understandingaccounting.org/asc/230/830/#45-other-presentation-matters","source":"FASB Accounting Standards Codification, Basic View","usage":"Study and research edition. Verify current requirements with the official source. Summaries, enrichment, and tags are machine-generated study aids. Paragraph html preserves source markup; snippet is abbreviated. Pending content is not necessarily effective.","topic":"230","topic_title":"Statement of Cash Flows","subtopic":"230-830","subtopic_title":"Foreign Currency Matters","section":{"number":"45","label":"45 Other Presentation Matters","anchor":"45-other-presentation-matters","is_sec":false,"groups":[{"block":null,"heading":null,"paragraphs":[{"citation":"230-830-45-1","para":"45-1","html":"<div class=\"asc-body\"><div class=\"norm-text\"><span class=\"sfragment\" id=\"sfr_D1EEBE2B-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">A statement of cash flows of an entity with <a href=\"/glossary/f/#foreign-currency-transactions\" class=\"term\" title=\"Transactions whose terms are denominated in a currency other than the entity's functional currency. Foreign currency transactions arise when a reporting entity does any of the following: Buys or sells on credit goods or services whose prices are denominated in foreign currency Borrows or lends funds and the amounts payable or receivable are denominated in foreign currency Is a party to an unperformed forward exchange contract For other reasons, acquires or disposes of assets, or incurs or settles liabilities denominated in foreign currency.\"><span>foreign currency transactions</span></a> or foreign operations shall report the <a href=\"/glossary/r/#reporting-currency\" class=\"term\" title=\"The currency in which a reporting entity prepares its financial statements.\"><span>reporting currency</span></a> equivalent of <a href=\"/glossary/f/#foreign-currency\" class=\"term\" title=\"A currency other than the functional currency of the entity being referred to (for example, the dollar could be a foreign currency for a foreign entity). Composites of currencies, such as the Special Drawing Rights, used to set prices or denominate amounts of loans, and so forth, have the characteristics of foreign currency.\"><span>foreign currency</span></a> cash flows using the exchange rates in effect at the time of the cash flows. </span></span><span class=\"sfragment\" id=\"sfr_D1EEBF37-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">An appropriately weighted average <a href=\"/glossary/e/#exchange-rate\" class=\"term\" title=\"The ratio between a unit of one currency and the amount of another currency for which that unit can be exchanged at a particular time.\"><span>exchange rate</span></a> for the period may be used for <a href=\"/glossary/t/#translation\" class=\"term\" title=\"See Foreign Currency Translation.\"><span>translation</span></a> if the result is substantially the same as if the rates at the dates of the cash flows were used. </span></span><span class=\"sfragment\" id=\"sfr_D1EEC01C-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">(That is, paragraph <a href=\"/asc/830/30/#830-30-45-3\" class=\"xref\">830-30-45-3</a> applies to cash receipts and cash payments.) </span></span><span class=\"sfragment\" id=\"sfr_D1EEC0F4-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">The statement of cash flows shall report the effect of exchange rate changes on cash, </span></span><span class=\"sfragment\" id=\"sfr_D1EEC1AC-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\"><a href=\"/glossary/c/#cash-equivalents\" class=\"term\" title=\"Cash equivalents are short-term, highly liquid investments that have both of the following characteristics: Readily convertible to known amounts of cash So near their maturity that they present insignificant risk of changes in value because of changes in interest rates. Generally, only investments with original maturities of three months or less qualify under that definition. Original maturity means original maturity to the entity holding the investment. For example, both a three-month U.S. Treasury bill and a three-year U.S. Treasury note purchased three months from maturity qualify as cash equivalents. However, a Treasury note purchased three years ago does not become a cash equivalent when its remaining maturity is three months. Examples of items commonly considered to be cash equivalents are Treasury bills, commercial paper, money market funds, and federal funds sold (for an entity with banking operations).\"><span>cash equivalents</span></a>, and amounts generally described as restricted cash or restricted cash equivalents </span></span><span class=\"sfragment\" id=\"sfr_D1EEC270-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">held in foreign currencies as a separate part of the reconciliation of the change in the total of cash, cash equivalents, </span></span><span class=\"sfragment\" id=\"sfr_D1EEC318-6E92-1014-A13F-6E4B94C84136\"><span class=\"sfragment-source\">and amounts generally described as restricted cash or restricted cash equivalents during the period. </span></span>See Example 1 (paragraph <a href=\"/asc/230/830/#230-830-55-1\" class=\"xref\">830-230-55-1</a>) for an illustration of this guidance.</div></div>","snippet":"A statement of cash flows of an entity with foreign currency transactions or foreign operations shall report the reporting currency equivalent of foreign currency cash flows using the exchange rates in effect at the time…","pending":false,"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:7ab1e0aea78157f8db160b7864f8cd1a16c7cebbfb3db05c0797fb28296b7c69","downloaded_from":"2026-09-09T23:12:03.500Z","last_downloaded_at":"2026-09-09T23:12:03.500Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477401","source_sha256":"29a41468e8415c5e1403b662977834519e0f5f1fe2a9fe42f8df8ab014104781"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:5601641f3a17087a2a32d0aa5ed0f44b7b316bc31cd16871a8ad38bc57bcc044","downloaded_from":"2026-09-09T23:12:03.500Z","last_downloaded_at":"2026-09-09T23:12:03.500Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477401","source_sha256":"29a41468e8415c5e1403b662977834519e0f5f1fe2a9fe42f8df8ab014104781"}}],"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:95f0241462775f0a1b6839f14f1e499a5db276a4169692360e7761670263b562","downloaded_from":"2026-09-09T23:12:03.500Z","last_downloaded_at":"2026-09-09T23:12:03.500Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477401","source_sha256":"29a41468e8415c5e1403b662977834519e0f5f1fe2a9fe42f8df8ab014104781"}},"provenance":{"source_url":"https://asc.fasb.org/","snapshot_version":"sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f","record_version":"sha256:95f0241462775f0a1b6839f14f1e499a5db276a4169692360e7761670263b562","downloaded_from":"2026-09-09T23:12:03.500Z","last_downloaded_at":"2026-09-09T23:12:03.500Z","date_scope":"source_page","effective_as_of":null,"effective_as_of_status":"Not established by retrieval timestamps","source_key":"1943274/2147477401","source_sha256":"29a41468e8415c5e1403b662977834519e0f5f1fe2a9fe42f8df8ab014104781"}}