For companies having monetary assets denominated in foreign currency units,these assets are converted into dollars at the historical rate of exchange that was in effect at the time of the foreign currency inflow.

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Rohit Kurian · Accepted Answer

Final Answer : False, Explanation :  Monetary assets denominated in foreign currency units are typically converted into dollars at the current exchange rate in effect at the balance sheet date, not the historical rate.

For companies having monetary assets denominated in foreign currency units,these assets are converted into dollars at the historical rate of exchange that was in effect at the time of the foreign currency inflow.

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