Disclosure of a change of functional currency

Learning objectives

• Identify the disclosures required when there is a change in functional currency.L3

Normative references

• IAS 21 §53Disclosures (para. 53): when the presentation currency differs from the functional currency, the entity states that fact, discloses the functional currency and the reason for using a different presentation currency.
• IAS 21 §54Disclosures (para. 54): when there is a change in the functional currency of the reporting entity or of a significant foreign operation, the entity discloses that fact and the reason for the change.

Original summaries of the paragraphs (reference register), never a quotation of the standard.

1 question

• The reporting entity's functional currency changes during the year. What disclosure must it provide?L3