Foreign Currency FS Conversion F37-15b

Under U.S. GAAP, financial statements in hyperinflationary economies are remeasured as if the functional currency were the reporting currency. What occurs under IFRS?

Under IFRS, financial statements in functional currencies in hyperinflationary economies are indexed using the general price index and then translated to the reporting currency. The indexing results in restatements in terms of the measuring unit at the balance sheet date with the resulting gain or loss income.