What was the foreign exchange gain/loss for Engineering For Kids in 2023?
Engineering_For_Kids Franchise · 2025 FDDAnswer from 2025 FDD Document
Foreign currency accounts are translated into U.S. dollars as necessary. At the transaction date, each asset, liability, revenue, and expense is translated into U.S. dollars by the use of the exchange rate at that date. At the year-end date, monetary assets and liabilities are translated into U.S. dollars by using the exchange rate in effect at that date. The resulting foreign exchange gains and losses are included in income in the current period.
Source: Item 22 — CONTRACTS (FDD page 53)
What This Means (2025 FDD)
According to the 2025 FDD, Engineering For Kids translates foreign currency accounts into U.S. dollars as necessary. Each asset, liability, revenue, and expense is translated into U.S. dollars by using the exchange rate at the transaction date. At the year-end date, monetary assets and liabilities are translated into U.S. dollars by using the exchange rate in effect at that date. The resulting foreign exchange gains and losses are included in income in the current period.
However, the specific amount of foreign exchange gain or loss for Engineering For Kids in 2023 is not disclosed in the provided excerpts from the FDD.
A prospective franchisee should ask Engineering For Kids for the specific foreign exchange gain/loss amount in 2023 to better understand the company's financial performance and exposure to currency fluctuations.