Question

The CFO of US company Tin Man Corp. knows that under IFRS, foreign currency translations starts with identifying the functional currency for parent and the foreign operations, then translating backwards into functional currency and then translating further into presentational currency. Tin Man is listing its stock exchange and presenting its financial statement under IFRS. The CFO forgets the IFRS rules of translations. She is:

Answer 1

Answer: Not compliance with the IFRS

Step-by-step explanation:

From the question, we are informed that when Tin Man is listing its stock exchange and presenting its financial statement under IFRS, the CFO forgets the IFRS rules of translations, thus simply means that she is not compliance with the IFRS.

Even though no fraud has been committed, the fact that she didn't follow the IFRS rules with regards to translation shows that she hasn't followed IFRS and therefore didn't comply with the IFRS.