FUNCTIONAL CURRENCY

Functional Currency



Functional Currency

Introduction

SIMCO Commercial Corporation (SCC) is located in Godalming, United Kingdom (U.K.). SCC is owned by an investment group located in London and all corporate functions are performed in Godalming. However, manufacturing operations occur in both the U.K. and South Africa. To form a final decision that which judgment will produce better result, an analysis over both currencies is necessary for analysis.

Explanation

The Rand is the currency of South Africa since the republic in 1961 , when the South African Pound replaced. The name is derived from the Witwatersrand , South Africa's treasury of mineral riches. Just ...