70.2K

Verified Solution

Link Copied!

The following account balances are for the Agee Company as of January 1, 2017, and December 31, 2017. All amounts are denominated in kroner (Krj. 1. 2017 Deceber 31, 2017 ounts pay Accounts rece tica-buildinga 121, 000 0,ODO 60, 000 aceunulated dopzaclatioa-oqulpsent onds payable-due 2020 Coauron stock epzeciation expense OLVdasda [10/1/17) (70,000 Gain on ale of bulidiag 6,1D0) Retained earnings (31.000 (32,o00) 84, 000 S, 500 Additional Information a Agee issued additional shares of common stock during the year on April 1, 2017, Common stock at January 1, 2017, was sold at the start of operations in 2010. Agee purchased buildings in 2011 and sold one building with a book value of Kr 12.000 on July 1 of the current year. a Equipment was acquired on April 1, 2017 Relevant exchange rates for 1 Kr were as follows: 2.45 2.25 April , 2017 July 1, 201 October , 2017 Decerber 1, 2017 3.05 a. Assuming the U.S. dollar is the functional currency, what is the remeasurement gain or loss for 2017? The December 31, 2016, U.S. dollar-translated balance sheet reported retained earnings of $145,200, which included a remeasurement loss of $28,300. b. Assuming the foreign currency is the functonal currency, what is the translation adjustment for 2017? The December 31, 2016, U.s dollar-translated balance sheet reported retalned earnings of $162,250, and a cumulative translation adjustment of $9,650 (credit balance) (Input all answers as posltive.) b. Translation adjustment

Answer & Explanation Solved by verified expert

See Answer