Case Ltd$.("$Case$")$ was incorporated in Canada in $2020.$ Case mainly sells the product it manufactures within Caanda but recently found a market for some of its products in the United States. In $2022,30\%$ of Case's product were sold to the US customer. Payment is to be made in US dolalrs when the product is delivered to the US customers. THe remaining $70\%$ sales were made in Canadain dollars.

In $2022,$ Case also acquired an itilian subsidiary, Milano Corp. $("$Milano$"),$ to expand its European market. Milano's main operations are located in Italy. Approximately $40\%$ of its sales are to local customers, $20\%$ to companies in other European countries, and $40\%$ to Case. In order to satisfy the extra demand from Case, Milano built a new distribution warehouse in Italy in $2022.$ The warehouse was financed with cash on hand and a loan from an Italian bank to Euros. Cash surpllus from operation is kept at a local Italian bank in Euros.

Required: Explain the functional currency of both Case Ltd and Milano Corp. Please clearly state your conclusion and explain why.