Ealing Company began operations as a new subsidiary ofFundamental Company, a U.S. Corporation, on January 2, 2018, byissuing common stock for 180,000 foreign currency units (FCU).Ealing immediately borrowed 35,000 FCU with a 10-year, 10% note,interest payable annually on January 1. On the same date, Ealingbought a building for 200,000 FCU. The building was to bedepreciated for 20 years on a straight-line basis with a residualvalue of 40,000 FCU.
During the year, the building was rented for 9,000 FCU per month.At year's end, all rent had been collected.
On May 1 a repair on the building of 15,000 FCU was completed andpaid for. Land for a parking lot was acquired for 30,000 FCU incash on June 1.
A dividend of 20,000 FCU was declared and paid on December 1.

Exchange rates for the year were as follows:
January 2, 2018 1 FCU = $.30

May 1, 2018 1 FCU = .37

June 1, 2018 1 FCU = .38

November 1, 2018 1 FCU = .41

December 1, 2018 1 FCU = .39

December 31, 2018 1 FCU = .35

average for 2018 1 FCU = .36

Fundamental company determined that the FCU was the functionalcurrency and translation using the current rate method wasappropriate for consolidation. Calculate the translation adjustmentfor 2018. (You might remember that the translation adjustment usesthe net assets approach, not the net monetary assets approach.)