1. Most of the countries in Europe are engaging in a a unified organization in order to combat the effects of the US in the western hemisphere and Japan in the far east. What effect do you think this united European front will have and what will be the effect on the individual that lives within one of these European countries as they lose their individualism and national identity. 2. A U.S. company buys merchandise from a foreign company denominated in the foreign currency. Which of the following statements is true? a. If the foreign currency appreciates, a foreign exchange gain will result. b. If the foreign currency depreciates, a foreign exchange loss will result c. No foreign exchange gain or loss will result d. If the foreign currency appreciates, a foreign exchange loss will result 3. Westmore, Ltd. Is a British subsidiary of a U.S. company. Westmores functional currency is the pound sterling. The following exchange rates were in effect during 2008. Jan. 1 $1 = 0.625 Jun 30 $1 = 0.610 Dec 31 $1 = 0.620 Weighted Average for the year $1 = 0.630 On December 31, Westmore had accounts receivable of 280,000. What amount (rounded) would have been included for this subsidiary in calculating consolidated accounts receivable? a. $444,444 b. $451,613 c. $142,600 d. $176,400 e. $452,830