E7.2 Translation and Remeasurement of Depreciable Assets Massmart, the second largest re- tailer in Africa, is a subsidiary of Wal-Mart Inc., a U.S. company. Massmart report smart reports its accounts in its local currency, the rand (R). Wal-Mart's fiscal year ends January 31. On February 1 2018 Massmart reports facilities with original cost of R500 million and accumulated depreciation of R280 million in its noncurrent assets, as follows: Buildings acquired at a cost of R175 million when the exchange rate was $0.15/R. with accumulated depreciation of R100 million. The buildings are being depreciated on a straight-line basis over 25 years. Equipment acquired at a cost of R325 million when the exchange rate was $0.12/R, with accumulated depreciation of R180 million. The equipment is being depreciated on a straight-line basis over 10 years. Additional exchange rates: $0.10 0.08 February 1, 2018 Average for fiscal 2019... January 31, 2019..... 0.07 ....... Massmart still holds these facilities at January 31, 2019. Required a. Assume that Massmart's functional currency is the rand. Calculate Massmart's translated facilities. at cost, and related accumulated depreciation, at January 31, 2019, and its translated depreciation expense for fiscal 2019. b. Now assume that Massmart's functional currency is the U.S. dollar. Calculate Massmart's remea- sured facilities, at cost, and related accumulated depreciation, at January 31, 2019, and its remea- sured depreciation expense for fiscal 2019