1. Functional Currency refers to:
1) the currency used by the parent company
2) the currency most used by the supply chain
3) the currency in which a subsidiary primarily generates and expends cash and in which its accounts are maintained.
4) the currency mandated by FASB 52 for the parent company.
2. Please order the following securities according to its priority in its claims against a bankrupt firm. The first listed should be the highest priority.
Common stock
An unsecured bond
A senior debenture