5 Kingsfield establishes a subsidiary operation in a foreign country on January 1, 2017. The country's currency is the kumquat (KQ). To start this business, Kingsfield invests 10,000 kumquats. Of this amount, it spends 3,000 kumquats immediately to acquire equipment. Later, on April 1, 2017, it also purchases land. All subsidiary operational activities occur at an even rate throughout the year. The U.S dollar (S) exchange rates for the kumquat for 2017 follow: 10 points January 1 April 1 June 1 Weighted average December 31 $ 1.71 1.59 1.66 1.64 1.62 eBook As of December 31, 2017, the subsidiary reports the following trial balance: Print Debits Credits Accounts receivable Equipment Accumulated depreciation KQ 8,000 9,000 3,000 Q 60e 5,080 3,800 5,000 10,000 Accounts payable Notes payable (due 2025) Common stock Dividends declared (6/1/17) Sales alary expense Depreciation expense Miscellaneous expenses Totals 4,000 25,800 5,000 600 9.000 KQ 43,680KQ 43,600 A corporation based in East Lansing, Michigan, Kingsfield uses the U.S. dollar as its reporting currency. a. Assume that the subsidiary's functional currency is the kumquat. Prepare a trial balance for it in U.S. dollars so that 2017 consolidated financial statements can be prepared. b. Assume that the subsidiary's functional currency is the U.S. dollar. Prepare a trial balance for it in U.S. dollars so that 2017 consolidated financial statements can be prepared. Complete this question by entering your answers in the tabs below