Artículo 8. IAS 21 Paragraph 8

The following terms are used in this Standard with the meanings specified: Closing rate is the spot exchange rate at the end of the reporting period. A currency is exchangeable into another currency when an entity is able to obtain the other currency within a time frame that allows for a normal administrative delay and through a market or exchange mechanism in which an exchange transaction would create enforceable rights and obligations. [ Refer: paragraphs 8A⁠–⁠8B Basis for Conclusions paragraphs BC42⁠–⁠BC52 Illustrative Examples paragraphs IE2⁠–⁠IE8 ] Exchange difference is the difference resulting from translating a given number of units of one currency into another currency at different exchange rates . Exchange rate is the ratio of exchange for two currencies. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. (See IFRS 13 Fair Value Measurement .) Foreign currency is a currency other than the functional currency of the entity. Foreign operation is an entity that is a subsidiary, associate, joint arrangement or branch of a reporting entity, the activities of which are based or conducted in a country or currency other than those of the reporting entity. Functional currency is the currency of the primary economic environment in which the entity operates. [ Refer: paragraphs 9⁠–⁠14 Basis for Conclusions paragraphs BC4⁠–⁠BC9 ] A group is a parent and all its subsidiaries. Monetary items are units of currency held and assets and liabilities to be received or paid in a fixed or determinable number of units of currency. [ Refer: paragraph 16 ] Net investment in a foreign operation is the amount of the reporting entity’s interest in the net assets of that operation. [ Refer: paragraphs 15 and 15A ] Presentation currency is the currency in which the financial statements are presented. Spot exchange rate is the exchange rate for immediate delivery.