Homeko, Inc. is located in the U. S., but it has subsidiaries in Germany. When the euro appreciates relative to the U. S. dollar, what is the direction of the translation adjustment to consolidate Homeko's financial statements?

A. When there is net asset exposure, the translation adjustment will be positive.
B. When there is net liability exposure, the translation adjustment will be positive.
C. The direction of the adjustment is indeterminate.
D. There will be no adjustment necessary unless the difference is realized.

The business cycle is the periodic but irregular up-and-down movement in economic activity, measured by fluctuations in real gross domestic product (gdp) and other macroeconomic variables. a business cycle is typically characterized by four phases—recession, recovery, growth, and decline—that repeat themselves over time. economists note, however, that complete business cycles vary in length. the duration of business cycles can be anywhere from about two to twelve years, with most cycles averaging six years in length. some business analysts use the business cycle model and terminology to study and explain fluctuations in business inventory and other individual elements of corporate operations. but the term "business cycle" is still primarily associated with larger (industry-wide, regional, national, or even international) business trends.