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get stuck in this, need help Rolfe Company (a U.S.-based company) has a subsidiary in Nigeria where the local currency unit is the naira (NGN).
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Rolfe Company (a U.S.-based company) has a subsidiary in Nigeria where the local currency unit is the naira (NGN). On 2019, the subsidiary had the following balance sheet (amounts are in thousands [000s]): The subsidiary acquired the inventory on August 1, 2019, and the land and building in 2013. It issued the common stock 2020, the following transactions took place: 2020 Feb. 1 Paid 8,120,000 NGN on the note payable. May 1 sold entire inventory for 17,200,000sGM on account. June 1 sold land tor 6,120,000 mGN cash. Aug. 1 Collected all accounta receivable. Sept. I signed long-term note to receive B,120,000 waN cash. oet. 1 Bought inventory for 20,120,000NGN cash. Nov, 1 Bought land for 3,120,000 NGN on account. Dee. 1 beclared and paid 3,120,000 NGM cash dividend to parent. Dec.31 Recorded depreciation for the entire year of 2,060,000 wGN. The U.S dollar (\$) exchange rates for 1 NGN are as follows: a. Assuming the NGN is the subsidlary's functional currency, what is the translation adjustment determined solely for 2020 b. Assuming the U.S.\$ is the subsidiary's functional currency, what is the remeasurement gain or loss determined solely for Input all amounts as positive. Enter amounts in whole dollars.) Rolfe Company (a U.S.-based company) has a subsidiary in Nigeria where the local currency unit is the naira (NGN). On 2019, the subsidiary had the following balance sheet (amounts are in thousands [000s]): The subsidiary acquired the inventory on August 1, 2019, and the land and building in 2013. It issued the common stock 2020, the following transactions took place: 2020 Feb. 1 Paid 8,120,000 NGN on the note payable. May 1 sold entire inventory for 17,200,000sGM on account. June 1 sold land tor 6,120,000 mGN cash. Aug. 1 Collected all accounta receivable. Sept. I signed long-term note to receive B,120,000 waN cash. oet. 1 Bought inventory for 20,120,000NGN cash. Nov, 1 Bought land for 3,120,000 NGN on account. Dee. 1 beclared and paid 3,120,000 NGM cash dividend to parent. Dec.31 Recorded depreciation for the entire year of 2,060,000 wGN. The U.S dollar (\$) exchange rates for 1 NGN are as follows: a. Assuming the NGN is the subsidlary's functional currency, what is the translation adjustment determined solely for 2020 b. Assuming the U.S.\$ is the subsidiary's functional currency, what is the remeasurement gain or loss determined solely for Input all amounts as positive. Enter amounts in whole dollars.) Step by Step Solution
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