A translation adjustment (or translation gain) that is a consequence of translation of a functional currency that is different from the reporting currency should be (a) Deferred and amortized over a...

A translation adjustment (or translation gain) that is a consequence of translation of a functional currency that is different from the reporting currency should be

(a) Deferred and amortized over a period not to exceed 40 years.

(b) Deferred until a subsequent year when a loss occurs and offset it against that loss.

(c) Included as a separate item in the equity section of the balance sheet.

(d) Included in net income in the period in which it occurs.