Below is Malanoski's income statement, statement of retained earnings, and balance sheet for the year ending December 31, 2020. Malanoskis is a wholly owned Polish subsidiary of Castallano Inc., a U.S. based company. (millions, PLN) Income Statement for the year ending 12/31/2020 Revenue 90,000 Wage expense 37,000 Utilities expense 6,000 Rent expense 10,000 Pretax Income 37,000 Income taxes 5,500 Net income 31,500 Statement of Retained Earnings as of 12/31/2020 Beginning retained earnings 11,000 Net Income 31,500 Dividends 5,000 Ending retained earnings 37,500 Balance Sheet as of 12/31/2020 Assets Cash 9,000 Accounts receivable 19,000 Equipment (net of accumulated depr) 80,000 Total Assets 108,000 Liabilities Accounts payable 4,000 Notes payable 25,500 Shareholders Equity Capital stock 41,000 Retained earnings 37,500 Total Liabilities and Shareholders Equity 108,000 Other information: a. Castallano shows the ending retained earnings on last years financial statements was translated to $3,300. b. Capital stock is translated at a historical rate of ZLN 1.00 = US $0.280. c. Dividends were paid on November 30, 2020 when the exchange rate was PLN 1.00 = US $0.318. d. The average exchange rate for the year is PLN 1.00 = US $0.310. e. The exchange rate as of 12/31/2020 is PLN 1.00 = $0.291 f. Taxes are paid periodically throughout the year. Required: Translate Malanoskis financial statements into US$ assuming that the Polish Zloty (PLN) is the functional currency.

USD 0 o old Oolo 0 0 1 2 FCU (Foreign Currency Unit) is functional currency (Current rate method) 3 Exchange 4 FCU Rate 5 Sales 6 Wages 7 Utilities 8 Rent 9 Income before tax 0 10 Income taxes 11 Net income 0 12 13 Retained earnings, Beginning 14 Net income 0 from I/S 15 Dividends, Date 16 Dividends, Date 17 Retained earnings, Ending 18 19 Cash 20 Receivables 21 Inventory 22 Plant and equipment 23 Less: accumulated depreciation 24 Total assets 25 26 Accounts payable 27 Long-term debt 28 Common stock 29 Retained earnings from R/E 30 Cumulative translation adjustment 31 Total liabilities and stockholders' equity 0 32 0 0 0 0 0 0 0 0 O O O O 0