Assume that our company owns a subsidiary operating in Switzerland. The subsidiary has adopted the Swiss Frane (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 recent year: Income statement: Sales Cost of goods sold Gross profit Operating expenses Depreciation Remeasurement gain or loss Net income 2,600,000 1,268,000 (465,000) 156,000) 647,000 Statement of retained earnings: BOY retained earnings Net income Dividends Ending retained earnings 1,506,500 647,000 (56,000) 097 Balance sheet Assets Cash Accounts receivable Inventory PPE, net Total Assets 697,900 517,700 710,400 1,826,200 Liabilities and Stockholders' Equity Current Liabilities Long-term Liabilities Common Stock APIC Retained Earnings Total Liabilities& Equity 308,500 746,200 180,000 420,000 2,097,500 3,752,200 Our subsidiary also reports the following additional financial statement information (in CHF): Beginning inventory 560,700 1,481,700 710,400 1,332,000 Ending inventory Cost of Goods Sold 686,200 1,440,000 (720,000) 840,000 Land Building Equipment 42 PPE, net 1,826,200 72,000 84,000 156,000 Depreciation expense Building Depreciation expense Equipment Depreciation expense The relevant exchange rates for the SUS value of the Swiss Franc (CHF) are as follows $0.70 $0.90 S0.80 $0.87 BOY Rate rate Avg. rate Dividend rate Historical rates: Beginning inventory Land Building Equipment Historical rate (Common Stock and APIC) $0.70 $0.45 $0.45 $0.55 $0.30 REQUIRED Remeasure the subsidiary's income statement, statement of retained earnings, and balance sheet into SUS for the current year (assume that the BOY Retained Earnings is $901,100)