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Währungsumrechnung im Planungs- und Kontrollprozess

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  • Andreas Hoffjan
  • Timo Kornetzki

Abstract

Exchange rare fluctuations complicate the cross-border planning-, control- and co-ordination process in the long-term. The preparation and controlling of budgets as a classic management accounting instrument in the international context also requires a conversion of exchange rates. This article introduces the Lessard-Lorange-model and the Demirag-model as the most important methods of foreign currency conversion in the context of international controlling as well as a rather new value based budgeting technique. The selection of combinations of planned- and controlled exchange rates depends decisively on the assessed object it is based upon, the foreign company as a whole or the performance of the local management. Moreover, empirical results prove that currency conversion is dependent upon whether the subsidiary is in a hard currency country or in a soft currency country. Copyright Physica-Verlag 2005

Suggested Citation

  • Andreas Hoffjan & Timo Kornetzki, 2005. "Währungsumrechnung im Planungs- und Kontrollprozess," Metrika: International Journal for Theoretical and Applied Statistics, Springer, vol. 16(3), pages 325-348, September.
    • Handle: RePEc:spr:metrik:v:16:y:2005:i:3:p:325-348
    DOI: 10.1007/BF02825647
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    References listed on IDEAS

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    1. Laurent L Jacque, 1981. "Management of Foreign Exchange Risk: A Review Article," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 12(1), pages 81-101, March.
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    3. Istemi S Demirag, 1988. "Assessing Foreign Subsidiary Performance: The Currency Choice of U.K. MNCs," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 19(2), pages 257-275, June.
    4. Laurent L Jacque & Paul M Vaaler, 2001. "The International Control Conundrum with Exchange Risk: An EVA Framework," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 32(4), pages 813-832, December.
    5. Laurent L Jacque & Peter Lorange, 1984. "The International Control Conundrum: The Case of ‘Hyperinflationary’Subsidiaries," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 15(2), pages 185-201, June.
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