Calculate the cumulative translation adjustment (CTA) for this U.S. MNC translating the balance sheet and income statement of a French subsidiary, which keeps its books in euro, but that is translated into U.S. dollars using the current rate method, the reporting currency of the U.S. MNC. The subsidiary is at the end of its first year of operation.The historical exchange rate is $1.70/1.00 and the most recent exchange rate is $1.80/. Balance Sheet Cash Local Currency 2,100 Inventory 1,500 Net fixed assets 3,000 Total Assets 6,600 Current liabilities 1,200 Long-term debt 1,800 Common stock 2,700 900 Retained earnings CTA Total L&E Income Statement Sales Revenue COGS 6,600 10,000 7,500 Depreciation 1,000 NOI 1,500 Tax (40%) 600 Profit after tax 900 Foreign Exchange gain (loss) Net income 900 Dividends CO Addition to Retained Earnings 900 SCE