# ASC 830-30-45: Foreign Currency Matters — Translation of Financial Statements — 45 Other Presentation Matters Source: FASB Accounting Standards Codification, Basic View [Read online](https://asc.understandingaccounting.org/asc/830/30/#45-other-presentation-matters) 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. Tables and mathematical or amendment markup are retained as HTML where Markdown would lose structure. Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:13b17025a008cc663fdc1ca18be0b5539284b69a853072d56b5833d617261945 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. ## ASC 830-30-45: 45 Other Presentation Matters [Read section](https://asc.understandingaccounting.org/asc/830/30/#45-other-presentation-matters) SEC content: no ##### [830-30-45-1](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-1) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:682bd95ece424b23f6440e74b113c6349dc8a8f873acfc0bfb0c638925601222 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The guidance in this Section discusses how a [reporting entity](https://asc.understandingaccounting.org/glossary/r/#reporting-entity "An entity or group whose financial statements are being referred to. Those financial statements reflect any of the following: The financial statements of one or more foreign operations by combination, consolidation, or equity accounting Foreign currency transactions.") translates [foreign currency statements](https://asc.understandingaccounting.org/glossary/f/#foreign-currency-statements "Financial statements that employ as the unit of measure a functional currency that is not the reporting currency of the reporting entity.") and analyzes changes in the cumulative translation adjustment. It also addresses two related reporting matters. The guidance is organized as follows: 1. a Translation of foreign currency statements 2. b Analysis of changes in cumulative translation adjustment 3. c Reporting other comprehensive income—income tax consequences of rate changes 4. d [Subparagraph superseded by Accounting Standards Update No. 2015-01](https://asc.understandingaccounting.org/updates/asu-2015-01/). #### Translation of Foreign Currency Statements ##### [830-30-45-2](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-2) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:312b97dae566f35de2b3165409a422cdcabdc759b4c17fbe82fa9f5f5f79095c Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This guidance on translation of foreign currency statements is organized as follows: 1. a [Translation](https://asc.understandingaccounting.org/glossary/t/#translation "See Foreign Currency Translation.") using current [exchange rate](https://asc.understandingaccounting.org/glossary/e/#exchange-rate "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.") 2. b Elimination of intra-entity profits 3. c Translation after a business combination 4. d Reporting [translation adjustments](https://asc.understandingaccounting.org/glossary/t/#translation-adjustments "Translation adjustments result from the process of translating financial statements from the entity's functional currency into the reporting currency.") 5. e Subsequent change in exchange rate 6. f Cumulative translation adjustments attributable to [noncontrolling interests](https://asc.understandingaccounting.org/glossary/n/#noncontrolling-interest "The portion of equity (net assets) in a subsidiary not attributable, directly or indirectly, to a parent. A noncontrolling interest is sometimes called a minority interest."). ##### [830-30-45-3](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-3) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:eb3fd0dc7d89afe7c2ba175491f467516bfb4f3493fe69cbbbed9221714cc6c1 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. All elements of financial statements shall be translated by using a current exchange rate as follows: 1. a For assets and liabilities, the exchange rate at the balance sheet date shall be used. 2. b For revenues, expenses, gains, and losses, the exchange rate at the dates on which those elements are recognized shall be used. This guidance also applies to accounting allocations (for example, depreciation, cost of sales, and amortization of deferred revenues and expenses) and requires translation at the current exchange rates applicable to the dates those allocations are included in revenues and expenses (that is, not the rates on the dates the related items originated). ##### [830-30-45-4](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-4) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:3493433825a6aea724b9cafb6d579d9ab6acf2b86ead0a2d53d4c21eb274bfc6 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. For purposes of translation of financial statements referred to in this Subtopic, the current exchange rate is the rate as of the end of the period covered by the financial statements or as of the dates of recognition in those statements in the case of revenues, expenses, gains, and losses. ##### [830-30-45-5](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-5) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:b20754a0abb9849a1d0ba4f4f5a7eddb5f141b5ded78bebdc87022fb75c63516 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Paragraphs [830-10-55-10 through 55-11](https://asc.understandingaccounting.org/asc/830/10/#830-10-55-10) address the use of averages or other methods of approximation. ##### [830-30-45-6](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-6) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:f7db0f72ba6ba7fa25c95e8e0dc211eff208ee9974f882b15045455a7c8c994e Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In the absence of unusual circumstances, the exchange rate applicable to [conversion](https://asc.understandingaccounting.org/glossary/c/#conversion "The exchange of one currency for another.") of a currency for purposes of dividend remittances shall be used to translate foreign currency statements. ##### [830-30-45-7](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-7) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:0ddd8afbe109518bdd1d2d1d4b550ebd684377b38cbc9fd3ccf82f4a74e2526a Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If unsettled intra-entity transactions are subject to and translated using preference or penalty rates, translation of foreign currency statements at the rate applicable to dividend remittances may cause a difference between intra-entity receivables and payables. Until that difference is eliminated by settlement of the intra-entity transaction, the difference shall be treated as a receivable or payable in the reporting entity's financial statements. ##### [830-30-45-8](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-8) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:d4faa98d6806195eba42862cbba405f8284e3c6ca1329817549e5dfed3468b24 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If a [foreign entity](https://asc.understandingaccounting.org/glossary/f/#foreign-entity "An operation (for example, subsidiary, division, branch, joint venture, and so forth) whose financial statements are both: Prepared in a currency other than the reporting currency of the reporting entity Combined or consolidated with or accounted for on the equity basis in the financial statements of the reporting entity.") whose balance sheet date differs from that of the reporting entity is consolidated or combined with or accounted for by the equity method in the financial statements of the reporting entity, the current rate is the rate in effect at the foreign entity's balance sheet date for purposes of applying the requirements of this Subtopic to that foreign entity. ##### [830-30-45-9](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-9) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:ff21f8038fa3c321a8c3bd5a7b0d68f06905cb4a4a5c88e9d99a50d35f4c76ac Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If exchangeability between two currencies is temporarily lacking at the [transaction date](https://asc.understandingaccounting.org/glossary/t/#transaction-date "The date at which a transaction (for example, a sale or purchase of merchandise or services) is recorded in accounting records in conformity with generally accepted accounting principles (GAAP). A long-term commitment may have more than one transaction date (for example, the due date of each progress payment under a construction contract is an anticipated transaction date).") or balance sheet date, the first subsequent rate at which exchanges could be made shall be used for purposes of this Subtopic. If the lack of exchangeability is other than temporary, the propriety of consolidating, combining, or accounting for the foreign operation by the equity method in the financial statements of the reporting entity shall be carefully considered. Example 1 (see paragraph [830-30-55-1](https://asc.understandingaccounting.org/asc/830/30/#830-30-55-1)) illustrates the application of this paragraph. ##### [830-30-45-10](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-10) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:a4975d7412ffd5abe9f40ebbb68cfdaddd6a70841e167064ea06befff7928dcb Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. The elimination of intra-entity profits that are attributable to sales or other transfers between entities that are consolidated, combined, or accounted for by the equity method in the reporting entity's financial statements shall be based on the exchange rates at the dates of the sales or transfers. The use of reasonable approximations or averages is permitted. ##### [830-30-45-11](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-11) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:f95187cfbb6c7bdb06aa0a099dda538d80677216e36d2fe4addd5669010576ea Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. After a business combination, the amount assigned at the acquisition date to the assets acquired and the liabilities assumed (including goodwill or the gain recognized for a bargain purchase in accordance with Subtopic 805-30) shall be translated in conformity with the requirements of this Subtopic. ##### [830-30-45-12](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-12) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:07d8a8ea3e844b5ef1da2ad9ac9eb099df419164419c9a8dff547b4b9a6a6fcb Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. If an entity's [functional currency](https://asc.understandingaccounting.org/glossary/f/#functional-currency "An entity's functional currency is the currency of the primary economic environment in which the entity operates; normally, that is the currency of the environment in which an entity primarily generates and expends cash. (See paragraphs 830-10-45-2830-10-45-3830-10-45-4830-10-45-5830-10-45-6 and 830-10-55-3830-10-55-4830-10-55-5830-10-55-6830-10-55-7.)") is a [foreign currency](https://asc.understandingaccounting.org/glossary/f/#foreign-currency "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."), translation adjustments result from the process of translating that entity's financial statements into the reporting currency. Translation adjustments shall not be included in determining net income but shall be reported in other comprehensive income. ##### [830-30-45-13](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-13) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:5627f6705b22a9b63491f87a24225484b7819a56859ba8c5edea70f89bf62858 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity that has committed to a plan that will cause the cumulative translation adjustment for an equity method investment or a consolidated investment in a foreign entity to be reclassified to earnings shall include the cumulative translation adjustment as part of the carrying amount of the investment when evaluating that investment for impairment. The scope of this guidance includes an investment in a foreign entity that is either consolidated by the reporting entity or accounted for by the reporting entity using the equity method. This guidance does not address either of the following: 1. a Whether the cumulative translation adjustment shall be included in the carrying amount of the investment when assessing impairment for an investment in a foreign entity when the reporting entity does not plan to dispose of the investment (that is, the investment or related consolidated assets are held for use) 2. b Planned transactions involving foreign investments that, when consummated, will not cause a reclassification of some amount of the cumulative translation adjustment. ##### [830-30-45-14](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-14) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:384137f5b812521da8ed7bc20b9021ed176671a1855725ee888eee595a6dc2b3 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. In both cases, paragraph [830-30-40-1](https://asc.understandingaccounting.org/asc/830/30/#830-30-40-1) is clear that no basis exists to include the cumulative translation adjustment in an impairment assessment if that assessment does not contemplate a planned sale or liquidation that will cause reclassification of some amount of the cumulative translation adjustment. (If the reclassification will be a partial amount of the cumulative translation adjustment, this guidance contemplates only the cumulative translation adjustment amount subject to reclassification pursuant to paragraphs [830-30-40-2 through 40-4](https://asc.understandingaccounting.org/asc/830/30/#830-30-40-2) .) ##### [830-30-45-15](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-15) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:9b989891fe1d1739506b8e2f1aca6e8e03aeff394a480c9db4f158ab90670cb8 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An entity shall include the portion of the cumulative translation adjustment that represents a gain or loss from an effective hedge of the net investment in a foreign operation as part of the carrying amount of the investment when evaluating that investment for impairment. ##### [830-30-45-16](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-16) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:2ed3f0bb5fc92c393ef23f99ca2f82542d0157783039603e5f358a7e0a6e6a7d Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. A reporting entity's financial statements shall not be adjusted for a rate change that occurs after the date of the reporting entity's financial statements or after the date of the foreign currency statements of a foreign entity if they are consolidated, combined, or accounted for by the equity method in the financial statements of the reporting entity. ##### [830-30-45-17](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-17) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:f82c6ffd5fea5a07d6d7068295d1d9986b98ad378535918423b966e27b91d592 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Accumulated translation adjustments attributable to noncontrolling interests shall be allocated to and reported as part of the noncontrolling interest in the consolidated reporting entity. #### Analysis of Changes in Cumulative Translation Adjustment ##### [830-30-45-18](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-18) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:a68e33ed222719bc64a77956fe49df121b313c29ca2c0b6b57a12cc9ff93d6ce Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. An analysis of the changes during the period in the accumulated amount of translation adjustments reported in equity shall be provided in any of the following ways: 1. a In a separate financial statement 2. b In notes to financial statements 3. c As part of a statement of changes in equity. ##### [830-30-45-19](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-19) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:bc795f299cfc58163127e8f777f99e216d942b000a3f12fabe6453d2e0608229 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. This accumulated amount in equity might be titled Equity Adjustment from [Foreign Currency Translation](https://asc.understandingaccounting.org/glossary/f/#foreign-currency-translation "The process of expressing in the reporting currency of the reporting entity those amounts that are denominated or measured in a different currency.") or given a similar title. ##### [830-30-45-20](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-20) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:8a00e22dae43f0983a9d807411732a8e882cf99ff56b9936dad8aa9a4267c471 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. At a minimum, the analysis shall disclose all of the following (see paragraph [830-30-50-1](https://asc.understandingaccounting.org/asc/830/30/#830-30-50-1)): 1. a Beginning and ending amount of cumulative translation adjustments 2. b The aggregate adjustment for the period resulting from translation adjustments (see paragraph [830-30-45-12](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-12)) and gains and losses from certain hedges and intra-entity balances (see paragraph [830-20-35-3](https://asc.understandingaccounting.org/asc/830/20/#830-20-35-3)). 3. c The amount of income taxes for the period allocated to translation adjustments (see paragraph [830-30-45-21](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-21)) 4. d The amounts transferred from cumulative translation adjustments and included in determining net income for the period as a result of the sale or complete or substantially complete liquidation of an investment in a foreign entity (see paragraph [830-30-40-1](https://asc.understandingaccounting.org/asc/830/30/#830-30-40-1)). #### Reporting Other Comprehensive Income—Income Tax Consequences of Rate Changes ##### [830-30-45-21](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-21) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:5e60a52ceb3d59d483c1bb5d0085585e1524e8c83b28efb3ffd383ebb0f38364 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. Subtopic 740-10 requires income tax expense to be allocated among income from continuing operations, discontinued operations, adjustments of prior periods (or of the opening balance of retained earnings), and direct entries to other equity accounts. All translation adjustments are reported in other comprehensive income. Any income taxes related to those translation adjustments shall be allocated to other comprehensive income. Translation adjustments are accounted for in the same way as temporary differences under the provisions of Subtopic 740-10. If under the requirements of Subtopic 740-30 deferred taxes are not provided for unremitted earnings of a subsidiary, in those instances, deferred taxes shall not be provided on translation adjustments. ##### [830-30-45-22](https://asc.understandingaccounting.org/asc/830/30/#830-30-45-22) Pending content: no Source downloaded (UTC): 2026-09-10T01:47:22.947Z to 2026-09-10T01:47:22.947Z Record version: sha256:ffd51d9966b1f4c726f93a7d36d71256f091ac5fcd8427f5b88430e3e7272656 Snapshot version: sha256:15aea8165dff9f5ae47d9484f8470588b13b307f56e1d50801bf4d85ec190e3f Effective as of: not established by retrieval timestamps. [Paragraph superseded by Accounting Standards Update No. 2015-01](https://asc.understandingaccounting.org/updates/asu-2015-01/).