Bangkok Instruments, Ltd., the Thai subsidiary of a U.S. corporation, is a seismic instrument manufacturer. Bangkok Instruments manufactures the instruments primarily for the oil and gas industry globally, though with recent commodity price increases of all kindsincluding copperits business has begun to grow rapidly. Sales are primarily to multinational companies based in the United States and Europe. Bangkok Instruments' balance sheet in thousands of Thai bahts (B) as of March 31 is shown in the popup window:

Bangkok Instruments, Ltd.(B). Bangkok Instruments, Ltd., the Thai subsidiary of a U.S. corporation, is a seismic instrument manufacturer. Bangkok Instruments manufactures the instruments primarily for the oil and gas industry globally, though with recent commodity price increases of all kindsincluding copperits business has begun to grow rapidly. Sales are primarily to multinational companies based in the United States and Europe. Bangkok Instruments' balance sheet in thousands of Thai bahts (B) as of March 31 is shown in the popup window: 5 Exchange rates for translating Bangkok Instruments' balance sheet into U.S. dollars are: B29.17/$ April 1 exchange rate, after 20% appreciation. B35.00/$ March 31 exchange rate, before 20% appreciation. All inventory was acquired at this rate. B25.00/$ Historic exchange rate at which plant and equipment were acquired. The Thai baht appreciated in value from B35.00/$ to B29.17/$ between March 31 and April 1. Assuming no change in balance sheet accounts between these two days, calculate the gain or loss from translation by both the current rate method and the temporal method. Bangkok Instruments' translated balance sheet using the current rate method is shown here, B, and the one using the temporal method is shown here, Explain the translation gain or loss in terms of changes in the value of exposed accounts. Using the translated balance sheet under the current rate method, what is the amount of translation gain or loss? Enter a positive number for a gain and negative for a loss. (Round to the nearest dollar.) Bangkok Instruments' Translation Gain (Loss) After Appreciation of the Baht: Current Rate Method March 31 April1 Exchange Translated Exchange Translated Assets In Bahts (B) Rate (B/$) Accounts ($) Rate (B/$) Accounts ($) Cash B25,000,000 35.00 $714,286 29.17 $857,045 Accounts receivable 36,000,000 35.00 1,028,571 29.17 1,234, 145 Inventory 48,000,000 35.00 1,371,429 29.17 1,645,526 Net plant and equipment 58,000,000 35.00 1,657,143 29.17 1,988,344 Total B167,000,000 $4,771,429 $5,725,060 Liabilities and Net Worth Accounts payable B20,000,000 35.00 $571,429 29.17 $685,636 Bank loans 62,000,000 35.00 1,771,429 29.17 2,125,471 Common stock 19,000,000 25.00 760,000 25.00 760,000 Retained earnings 66,000,000 39.55 (a) 1,668,571 39.55 (b) 1,668,571 Translation adjustment (CTA) ? ? Total B167,000,000 $4,771,429 $5,725,060 (a) Dollar retained earnings before appreciation are the cumulative sum of additions to retained earnings of all prior years, translated to exchange rates in each year. (b) Translated into dollars at the same rate as before appreciation of the baht. Bangkok Instruments, Ltd.(B). Bangkok Instruments, Ltd., the Thai subsidiary of a U.S. corporation, is a seismic instrument manufacturer. Bangkok Instruments manufactures the instruments primarily for the oil and gas industry globally, though with recent commodity price increases of all kindsincluding copperits business has begun to grow rapidly. Sales are primarily to multinational companies based in the United States and Europe. Bangkok Instruments' balance sheet in thousands of Thai bahts (B) as of March 31 is shown in the popup window: 5 Exchange rates for translating Bangkok Instruments' balance sheet into U.S. dollars are: B29.17/$ April 1 exchange rate, after 20% appreciation. B35.00/$ March 31 exchange rate, before 20% appreciation. All inventory was acquired at this rate. B25.00/$ Historic exchange rate at which plant and equipment were acquired. The Thai baht appreciated in value from B35.00/$ to B29.17/$ between March 31 and April 1. Assuming no change in balance sheet accounts between these two days, calculate the gain or loss from translation by both the current rate method and the temporal method. Bangkok Instruments' translated balance sheet using the current rate method is shown here, B, and the one using the temporal method is shown here, Explain the translation gain or loss in terms of changes in the value of exposed accounts. Using the translated balance sheet under the current rate method, what is the amount of translation gain or loss? Enter a positive number for a gain and negative for a loss. (Round to the nearest dollar.) Bangkok Instruments' Translation Gain (Loss) After Appreciation of the Baht: Current Rate Method March 31 April1 Exchange Translated Exchange Translated Assets In Bahts (B) Rate (B/$) Accounts ($) Rate (B/$) Accounts ($) Cash B25,000,000 35.00 $714,286 29.17 $857,045 Accounts receivable 36,000,000 35.00 1,028,571 29.17 1,234, 145 Inventory 48,000,000 35.00 1,371,429 29.17 1,645,526 Net plant and equipment 58,000,000 35.00 1,657,143 29.17 1,988,344 Total B167,000,000 $4,771,429 $5,725,060 Liabilities and Net Worth Accounts payable B20,000,000 35.00 $571,429 29.17 $685,636 Bank loans 62,000,000 35.00 1,771,429 29.17 2,125,471 Common stock 19,000,000 25.00 760,000 25.00 760,000 Retained earnings 66,000,000 39.55 (a) 1,668,571 39.55 (b) 1,668,571 Translation adjustment (CTA) ? ? Total B167,000,000 $4,771,429 $5,725,060 (a) Dollar retained earnings before appreciation are the cumulative sum of additions to retained earnings of all prior years, translated to exchange rates in each year. (b) Translated into dollars at the same rate as before appreciation of the baht