Notes to Financial Statements
A. Significant Accounting Policies
The Latin America Dollar Income Fund, Inc. (the "Fund") is registered under the Investment Company Act of
1940, as amended, as a non-diversified, closed-end management investment company.
The Fund's financial statements are prepared in accordance with generally accepted accounting principles which
require the use of management estimates. The policies described below are followed consistently by the Fund in
the preparation of its financial statements.
Security Valuation. Portfolio debt securities with remaining maturities greater than sixty days are valued by pricing
agents approved by the Officers of the Fund, which quotations reflect broker/dealer- supplied valuations and
electronic data processing techniques. If the pricing agents are unable to provide such quotations, the most recent
bid quotation supplied by a bona fide market maker shall be used. Short-term investments having a maturity of
sixty days or less are valued at amortized cost.
All other securities are valued at their fair value as determined in good faith by the Valuation Committee of the
Board of Directors. Securities valued in good faith by the Valuation Committee of the Board of Directors at fair
value amounted to $3,402,698 (3.6% of net assets) and have been noted in the investment portfolio as of
October 31, 1996. Their values have been estimated by the Board of Directors in the absence of readily
ascertainable market values. However, because of the inherent uncertainty of valuation, those estimated values
may differ significantly from the values that would have been used had a ready market for the securities existed,
and the difference could be material.
Foreign Currency Translations. The books and records of the Fund are maintained in U.S. dollars. Foreign
currency transactions are translated into U.S. dollars on the following basis:
(i) market value of investment securities, other assets and liabilities at the daily rates of exchange, and