AASB 121 The Effects of Changes in Foreign Exchange Rates 23-26: Subsequent measurement at each reporting date: translate monetary items at the closing rate, historical-cost non-monetary items at the transaction-date rate, and fair-value non-monetary items at the rate when fair value was measured, comparing amounts at their own dates for lower-of tests

What does 23-26 require?

At every reporting date foreign currency monetary balances are retranslated at the closing rate, non-monetary items carried at historical cost stay at the rate of the original transaction, and non-monetary items carried at fair value use the rate at the date fair value was set. Carrying amounts are first determined under the relevant Standard (for example AASB 116 cost or revaluation) and then translated. Where a carrying amount is the lower of two measures, such as inventory under AASB 102 or impaired assets under AASB 136, each measure is translated at the rate of the date it was determined (cost at the transaction rate, net realisable value or recoverable amount usually at the closing rate), which can create an impairment in one currency but not the other. Where several rates exist, the rate is the one at which the future cash flows could have been settled at the measurement date, or, if the currency is not exchangeable, the estimated rate.