6610.1 While there is free choice in the selection of the reporting currency for a foreign private issuer, there is not free choice in the selection of the currency used for measurement. All operations, including those of the parent company, that do not operate in a hyperinflationary environment should be measured using the currency of the primary economic environment to measure transactions. While not specifically referring to ASC 830, S-X 3-20 is designed to be conceptually consistent with that standard. Assets and liabilities are translated at the period end exchange rate and the statement of comprehensive income is translated at the weighted average annual exchange rate. The translation effects of exchange rate changes are included as a separate component of equity. (Last updated: 10/30/2020)