Homeko, Inc. is located in the U. S., but it has subsidiaries in Germany. When the euro appreciates relative to the U. S. dollar, what is the direction of the translation adjustment to consolidate Homeko's financial statements?

A. When there is net asset exposure, the translation adjustment will be positive.
B. When there is net liability exposure, the translation adjustment will be positive.
C. The direction of the adjustment is indeterminate.
D. There will be no adjustment necessary unless the difference is realized.

A. When there is net asset exposure, the translation adjustment will be positive.

Explanation:

correct answer  is When there is net asset exposure, the translation adjustment will be positive. because

When there is a net asset risk, the translation adjustment is positive.

The euro has an exchange advantage rather than a dollar versus the dollar. So with a net asset risk, the translation adjustment is positive

c

explanation:

c because the item on a bank statement is also referred to as an account statement. in addition, it provides the beginning balance, ending balance, statement date, transaction date for each transaction, payee, customer name and address, statement period, the account holder's account number, and the bank's customer service number