FTB-C000727 / Financial concept

FX monetary remeasurement

FX monetary remeasurement updates a foreign-currency monetary position's functional-currency carrying amount using the applicable reporting-date rate.

Also known asFX revaluationforeign-currency remeasurement

Advanced 2 linked topicsEvidence-reviewed

Definitions

In plain terms

The foreign-currency units can stay the same while their value in the entity's functional currency changes.

Technical

D30 compares the selected closing-rate target with the existing carrying amount and produces a balanced adjustment with an explicit rate direction.

Scope

Presentation-currency translation, non-monetary items and net-investment/OCI exceptions require separate treatment.

Examples

  • A synthetic EUR monetary balance changes its USD carrying amount when the declared EUR-to-USD closing rate changes.

Common misconceptions

  • Every foreign-exchange difference does not automatically belong in profit or loss.

Concept relationships

Prerequisites

Related

Where this concept is used

Evidence and governance

  1. AASB 121, October 2023 compilation: paragraphs 23, 28 and 32 Australian Accounting Standards Board · official standard

    Supports: preferred label, short definition, variant distinction

    Limits: Not presentation-currency translation, all financial instruments, hyperinflation or a US GAAP equivalence claim.

  2. D30 glossary teaching-profile scope, Batch 013 The Fintech Builder · internal governed contract

    Supports: technical definition

    Limits: No independent regulatory mandate, real-bank dataset, service execution, external witness or production assurance is claimed.

Reviewed by
fintech-builder-batch-013
Last reviewed
2026-10-27
Next review
2027-10-27
Record status
evidence reviewed

This record is evidence-reviewed and readable, but not yet promoted to published — it is served noindex,follow and excluded from the sitemap.

Written by

Fintech engineer building market-data and financial systems, and the author of every article, glossary record, and reference implementation on The Fintech Builder.