video1.0<iframe src="https://www.loom.com/embed/7bb0a80e69ec4b4fabf2c736c282c3f4" frameborder="0" width="1728" height="1296" webkitallowfullscreen mozallowfullscreen allowfullscreen></iframe>12961728Loomhttps://www.loom.com12961728https://cdn.loom.com/sessions/thumbnails/7bb0a80e69ec4b4fabf2c736c282c3f4-00001.gif231.76666666666665In this video, I explain how foreign currency works and demonstrate how to create a hand of foreign currency. I discuss the classification of assets and liabilities as non-monetary and monetary items, respectively, according to IFRS 21 and ASDA 42. I highlight the use of historical rates for non-monetary items and closing exchange rates for monetary items. Through a practical example in Cradle, I show how the translation process works and the impact of different exchange rates on the balance sheet. No action is requested from the viewers.