Assume that our company owns a subsidiary operating in Switzerland. The subsidiary has adopted the Swiss Franc (CHF) as its functional currency for in-country financials. Our company operates this subsidiary like a division or branch office, making all of its operating decisions, including pricing its products We conclude, therefore, that the functional currency of this subsidiary is the USS and that its financial statements must be remeasured prior to consolidation. Following are the subsidiary's financial statements (in CHF) for the most rocent year Income statement Sales Cost of goods sold Gross profit Operating expenses 2,600,000 1,268,000 (465,000) (156,000) Remeasurement gain or loss Net income 647,000 Statement of retained earnings BOY retained earnings Net income Dividends Ending retained earnings 1,506,500 647,000 097,500 Balance sheet Assets Cash Accounts receivable 697,900 517.700 710.400 PPE, net Total Assets 3,752,200 Liabilities and Stockholders Equity Current Liabilities Long-term Liabilities 308,500 746,200 180,000 420,000 Common Stock APIC Retained Earnings Total Liabilities & Equity Our subsidiary also reports the following additional financial statement information (in CHF) Beginning inventory 560,700 1,481.700 Ending inventory Cost of Goods Sold 10 1,332,000 686,200 1,440,000 (720,000) 840,000 Land Building Equipment PPE, net 420,000) 1,826,200 72,000 Depreciation expense Building Depreciation expense Equipment Depreciation expense 156,000 The relevant exchange rates for the SUS value of the Swiss Franc (CHF) are as follows: S0.70 $0.90 $0.80 $0.87 BOY Rate EOY rate Avg. rate Dividend rate Historical rates: Beginning inventory Land Building Equipment Historical rate (Common Stock and APIC) S0.70 $0.45 50.45 $0.55 $0.30 REQUIRED Remeasure the subsidiary's income statement, statement of retained camings, and balance sheet into SUS for the current year (assume that the BOY Retained Earnings is S901,100)