Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. ros inc. is located in switzerland. ros, whose cur

ROS Inc. is located in Switzerland. ROS, whose currency is the Swiss franc...

90.2K

Verified Solution

Question

Accounting

ROS Inc. is located in Switzerland. ROS, whose currency is the Swiss franc (SF), is wholly owned by CRO Ltd., a Canadian company with a functional and presentation currency of the Canadian dollar. ROS's functional currency is the SF. The summarized balance sheet for ROS at December 31,2019, was as follows:
Monetary assets SF 100,000
Non-monetary assets 200,000
total assets SF 300,000
Monetary liabilities SF 190,000
Non-monetary liabilities 30,000
Shareholders equity 80,000
total liablities and equity SF 300,000
None of the non-monetary assets or liabilities are reported at market value.
What is the exchange gain or loss in Canadian dollars for ROS on January 1,2020, if the exchange rate changes from SF 1= C$1.50 to SF 1= C$1.52 and this is the only event affecting ROS for that day?
a.
Foreign exchange gain of $1,600 which will be reflected in Other Comprehensive Income.
b.
Foreign exchange loss of $1,600 which will be reflected in Other Comprehensive Income.
c.
Foreign exchange gain of $1,600 which will be reflected in net income

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Biology
1.2K views

Name and define each trophic level in an ecosystem and cite an example for each level,...

Biology
1.2K views

Compare and contrast Archaea, Bacteria, and Eukaryotes. (ESSAY)

Psychology
1.2K views

what are the major components of motivational interviewing and what are the goals of motivational interviewing

General Management
1.2K views

What is the difference between Organizational Development and Organizational Change? What are the differences and similarities in...

Biology
1.2K views

is the production of RNA using DNA as a template is the synthesis of polypeptides...

Biology
1.2K views

Four siblings did chores during the weekend. Ling cooked eggs. Gaberaked leaves. Chris sewed buttons....

Biology
1.2K views

What actually dictates the 5 3 direction of DNA replication O Okazaki fragments are not...

Geometry
1.2K views

H K J We are given that the measure of angle H is 13x 8...

Basic Math
1.2K views

Reasoning Tommy earned $14.80 in interest after 4 years on a principal of $100. His...

Accounting
1.2K views

Hay muchas desventajas de formar una empresa unipersonal, como la falta de continuidad y la...

Accounting
1.2K views

The following data (in thousands of dollars) have been taken from the accounting records of...

Accounting
1.2K views

Amy Viking needs help completing her 2018 Budget and her variance analysis comparing 2018 actual...