The second component of income--section 987 gain or loss--generally can be described as the portion of currency
gain or loss recognized upon remittance from a Section 987 QBU.
The proposed regulations are reserved on how to treat debt-for-debt "exchanges" in the same nonfunctional currency
, and include an example that assumes that a borrower would both realize and recognize a currency
loss on the redenomination of a foreign-currency
borrowing in the absence of the regulations; see Prop.
The first session in February 2004 addressed currency
risk in banking systems.
Unlike the Bank of Japan, the Asian central banks--and lately the Chinese central bank also have felt the need to avoid currency
risk by diversifying their foreign exchange portfolios.
But Caterpillar and Komatsu seem to have decided that it makes little sense to bet their businesses on the uncontrollable, perhaps unfathomable decisions of central bankers and currency
This program will ensure that people all over the world know the new currency
is coming, and help them recognize and use the security features.
Economic policy analysts and formulators have been kept busy in recent years deciding if or when China should cease to peg the value of its currency
, the yuan, to the U.
Says Steil: "Salvation lies in the Salvadoran solution, dollarization; the continued march of euro-ization; and perhaps the spread of a single Asian currency
built on the back of political reconciliation between Japan and China.
Which isn't a bad metaphor for the currency
that came into the world with the stated ambition of knocking off the dollar as a reference currency
, or at least rivaling it.
Soon every other Asian currency
would slip down with it and, by the end of the summer, the economies of Indonesia, Malaysia, and Thailand would be plummeting like Icarus.
But after years of belt-tightening to meet entry requirements for the single currency
, wild celebrations aren't likely to welcome the euro.
works on the same principle, but instead of a central computer recording transactions, locally-issued dollars change hands.
On the other hand, this currency
can't be costly to produce.
If an organization maintains accounts receivables or payables in a foreign currency
or has an office in a foreign country with expenses and revenues recorded in that country's currency
, it will need an accounting system powerful enough to accommodate this.