Daisan Company was created as a wholly owned subsidiary of Avioco Corporation on January

$1,$ Year $1.$ On that date, Avioco invested $$57,000$ in Daisan's capital stock. Given the

exchange rate on that date of $$0\mathrm{.}95$ per Brazilian Reals $($BRL$),$ the initial investment of

$$57,000$ was converted into $60,000BRL.$ Other than the capital investment on January $1,$ there

were no transactions involving stockholders' equity in Year $1.$ Daisan's BRL$-$denominated

financial statements for Year $2$ are as follows:

The BRL is the primary currency that Daisan uses in its day$-$to$-$day operations. The BRL has

steadily change in value against the dollar since Avioco made the investment in Daison on

January $1,$ Year $1.$ Relevant exchange rates for the BRL for Years $1$ and $2$ are as follows:

Required:

A$.$ Translate Daisan Company's Year $2$ financial statements into dollars

using Current Rate Method.

B$.$ Compute the translation adjustment for Year $2.$

C$.$ Explain why the sign of the translation adjustment in $($B$),$ is it positive or

negative?