BOY rate EOY rate Avg. rate $0.84 $0.71 $0.77 $0.72 Dividend rate Historical rates: Beginning inventory $0.84 Land $0.73 Building $0.73 Equipment $0.73 Historical rate (common stock and APIC) $1.03 Remeasure Beginning inventory (in AUD) $1,117,500 Rate In US Dollars 0.84 $ 938700 Purchases 2,923,500 0.77 2251095 Ending inventory (1,341,000) 0.71 -952110 Cost of goods sold $2,700,000 $ 2237685 Land $980,400 0.73 $ 715692 Building 1,800,000 0.73 1314000 Accum.deprec.-building (900,000) 0.73 -657000 Equipment 1,200,000 0.73 876000 Accum.deprec.-equipment (600,000) 0.73 -438000 Property, plant, and equipment (PPE), net $2,480,400 $ 1810692 Depreciation expense-building $90,000 0.73 $ 65700 Depreciation expense-equipment 120,000 0.73 87600 Depreciation expense $210,000 153300 Income statement: Sales $4,500,000 0.77 $ 3465000 Cost of goods sold (2,700,000) -2237685 Gross profit 1,800,000 1227315 Operating expenses (960,000) 0.77 -739200 Depreciation (210,000) -153300 Remeasurement gain 63792 Net income $630,000 $ 398607 Statement of retained earnings: BOY retained earnings $2,362,500 Net income 630,000 Dividends (63,000) 0.72 Ending retained earnings $2,929,500 +A $ 1560306 398607 -45360 $ 1913553 Balance sheet: Assets Cash $1,280,700 0.71 909297 Accounts receivable 1,044,000 0.71 741240 Inventory 1,341,000 952110 Property, plant, and equipment (PPE), net 2,480,400 1810692 Total assets $6,146,100 $ 4413339 Liabilities and stockholders' equity Current liabilities $763,200 0.71 $ 541872 Long-term liabilities 1,778,400 0.71 1262664 Common stock 300,000 1.03 309000 APIC 375,000 1.03 386250 Retained earnings 2,929,500 1913553 Total liabilities and equity $6,146,100 $ 4413339 Change in net monetary assets: BOY net monetary assets x (EOY - BOY exchange rates) Chg net monetary assets x (EOY - Avg exchange rate) Dividends x (EOY - Dividend exchange rate) Remeasurement gain 630 63792