Bentley Company owns a subsidiary in India whose balance sheets in rupees $($R$)$ for the last two years follow: December $31,20$X$6$December $31,20$X$7$Assets: CashR $107,000$R $83,000$Receivables$455,000569,000$Inventory$683,000726,000$Fixed Assets, net$1,004,000901,000$Total AssetsR $2,249,000$R $2,279,000$Equities: Current Payables$271,000360,000$Long$-$Term Debt$1,231,0001,084,000$Common Stock$519,000519,000$Retained Earnings$228,000316,000$Total EquitiesR $2,249,000$R $2,279,000$Bentley formed the subsidiary on January $1,20$X$6,$ when the exchange rate was $30$ rupees for $1$ U$.$S$.$ dollar. The exchange rate for $1$ U$.$S$.$ dollar on December $31,20$X$6,$ and December $31,20$X$7,$ had increased to $35$ rupees and $40$ rupees, respectively. Income is earned evenly over the year, and the subsidiary declared no dividends during its first two years of existence.Required:Present both the direct and the indirect exchange rates for the rupees for the three dates of $(1)$ January $1,20$X$6$; $(2)$ December $31,20$X$6$; and $(3)$ December $31,20$X$7.$Prepare the subsidiary$$s translated balance sheet as of December $31,20$X$6,$ assuming the rupee is the subsidiary$$s functional currency.Prepare the subsidiary$$s translated balance sheet as of December $31,20$X$7,$ assuming the rupee is the subsidiary$$s functional currency.Compute the amount that $20$X$7$s other comprehensive income would include as a result of the translation.