Question
Big Co. owns 80% of Little Co. Little has the following trial balance which has been translated from Euros to Dollars: Euros Exchange rate Dollars
Big Co. owns 80% of Little Co. Little has the following trial balance which has been translated from Euros to Dollars:
| Euros | Exchange rate | Dollars | |
| Assets | 400,000 | 1.25 | 500,000 |
| Liabilities | 100,000 | 1.25 | 125,000 |
| Common Stock | 40,000 | 1.1 | 44,000 |
| Retained earnings | 200,000 | various | 300,000 |
| Revenues | 200,000 | 1.2 | 240,000 |
| Expenses | 150,000 | 1.2 | 180,000 |
| AOCI | - | - | 30,000 credit |
| OCI - translation | 59,000 loss/debit |
What is the dollar amount of retained earnings that would be carried forward to next year?
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Advanced Accounting
Authors: Susan S. Hamlen, Ronald J. Huefner, James A. Largay III
2nd edition
1934319309, 978-1934319307
