Cataloged from PDF version of article.This thesis presents an application of the Statement of Financial
Accounting Standards No. 52, Foreign Currency Translation process on
financial statements of an importing firm in Turkey. As it requires in the
statement it is assumed that the DM is the functional currency of the
firm and its functional currency is its reporting currency.
Temporal method of translation is applied in the remeasurement of
financial statements. This method requires the use of both, historical and
current rates depending on the characteristic of the accounts. All the
translation gains and losses are taken into the income statement. However,
the use of the temporal method of translation has changed the initial
relationship among the accounts. The effect of the foreign currency
translation on financial statements is analyzed and some recommendations
are made.Tolun, PınarM.S
