Find the foreign currency gain or loss for this U.S. MNC translating the balance sheet and income statement of a French subsidiary, which keeps its books in euro, then is translated into U.S. dollars using the currentoncurrent 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 $1.60/1.00 and the most recent exchange rate is $1.50/. Local Currency Current/Non current Balance Sheet Cash 2,100 $ 3,150 Inventory (current Value = 1,800) 1,500 $ 2,250 Net fixed assets 3,000 $ 4,800 Total Assets 6,600 $ 10,200 Current liabilities 1,200 $ 1,800 Long-term 1,800 $ 2,880 Common stock 2,700 $ 4,320 Retained earnings 900 Total L&E 6,600 $ 10,200 Income Statement Sales Revenue 10,000 $ 15,484 COGS 7,500 $ 11,613 Depreciation 1,000 $ 1,600 NOI 1,500 $ 2,271 Tax(40%) 600 $ 908 Profit after tax 900 $ 1,363 Foreign Exchange gain (loss) Net income 900 Dividends 0 $ 0 Addition to retained Earnings 6900 Find the foreign currency gain or loss for this U.S. MNC translating the balance sheet and income statement of a French subsidiary, which keeps its books in euro, then is translated into U.S. dollars using the currentoncurrent 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 $1.60/1.00 and the most recent exchange rate is $1.50/. Local Currency Current/Non current Balance Sheet Cash 2,100 $ 3,150 Inventory (current Value = 1,800) 1,500 $ 2,250 Net fixed assets 3,000 $ 4,800 Total Assets 6,600 $ 10,200 Current liabilities 1,200 $ 1,800 Long-term 1,800 $ 2,880 Common stock 2,700 $ 4,320 Retained earnings 900 Total L&E 6,600 $ 10,200 Income Statement Sales Revenue 10,000 $ 15,484 COGS 7,500 $ 11,613 Depreciation 1,000 $ 1,600 NOI 1,500 $ 2,271 Tax(40%) 600 $ 908 Profit after tax 900 $ 1,363 Foreign Exchange gain (loss) Net income 900 Dividends 0 $ 0 Addition to retained Earnings 6900