Exercises 1. Rose Co has fixed assets information as below: Jan 1, Year 1. Purchase 2,000 PPE with rate of \$1 per Jan 1, Year 2. Purchase 2,400 PPE with rate of $1,2 per Both equipment have a five year useful life. Average exchange rate for year 2 is $1.1 per At Dec 31, Year 2, Exchange rate is $1.3 per Required: A, Determine assets value (asset costs) on Dec 31 , year 2 in parent currency (\$) B, Determine accumulated depreciation on Dec 31 , year 2 in $ Answer: - Current rate method Assets value on Dec 31 , year 2 under current rate method: => Acc depreciation on Dec 31 , year 2 under current rate method: - Temporal method Assets value on Dec 31 , year 2 under temporal method: Acc. depreciation on Dec 31 , year 2 under temporal method