On January Mikell acquired a foreign subsidiary whose local currency is the stickle. On
January Mikell issued common stock for On July Mikell sold
equipment for a loss of On October Mikell paid dividends of
Mikells operating revenues and expenses for were and
respectively and were earned evenly throughout the year. Depreciation expense represented
of the Currency exchange rates were as follows:
January $
July $
October $
Average for $
December $
Required:
a Assume that the stickle was the functional currency of the subsidiary current
method Calculate the translation adjustment for this subsidiary for
b Assume that the US dollar was the functional currency of the subsidiary temporal
method Calculate the remeasurement gain or loss for on a excel form
