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34. The following account balances are for the Agee Company as of January 1, 2020, and December 31. 2020. All amounts are denominated in kroner

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34. The following account balances are for the Agee Company as of January 1, 2020, and December 31. 2020. All amounts are denominated in kroner (Kr). January 1, 2020 (15,000) 54,000 (45,000) -0- (64,000) 134,000 60,000 (69,000) Accounts payable Accounts receivable Accumulated depreciation--buildings Accumulated depreciation--equipment Bonds payable-due 2023 Buildings Cash Common stock Depreciation expense Dividends (10/1/20) Equipment Gain on sale of building Rent expense Retained earnings Salary expense Sales Utilities expense -O- December 31, 2020 (25,000) 104.000 (50,000) (7,500) (64,000) 105,000 10,500 (82,000) 40,000 57,000 64,000 (8,500) 21,500 (55,000) 45,000 (162,000) 7,000 -0- -O- -O- -0- (55,000) -0- -O- -O- Additional Information Agee issued additional shares of common stock during the year on April 1, 2020. Common stock at January 1, 2020, was sold at the start of operations in 2013. Agee purchased buildings in 2014 and sold one building with a book value of Kr 1,500 on July 1 of the current year. Equipment was acquired on April 1, 2020. Relevant exchange rates for 1 Kr were as follows: 2013 2014 January 1, 2020 April 1, 2020 July 1, 2020 October 1, 2020 December 31, 2020 Average for 2020 $2.90 2.70 3.00 3.10 3.30 3.40 3.50 3.20 a. Assuming the US dollar is the functional currency, what is the remeasurement gain or loss for 2020? The December 31, 2019, 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 functional currency, what is the translation adjustment for 2020? The December 31, 2019. U.S. dollar-translated balance sheet reported retained earnings of $162,250 and a cumulative translation adjustment of $9,650 (credit balance)

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