History Bookmarks Window Help , Sun 1:49 PM Help Save &Exit Submit Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 106,000 pounds. The subsidiary immediately borrowed 255,000 pounds on a five-year note with 9 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 361,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary rented the building for three years to a group of local attomeys for 5,000 pounds per month. By year-end, rent payments totaling 50,000 pounds had been received, and 10,000 pounds was in accounts receivable. On October 1, 4,700 pounds was paid for a repair made to the building The subsidiary transferred a cash dividend of 3,000 pounds back to Sullivan's Island Company on December 31, 2017. The functional currency for the subsidiary is the pound. Currency exchange rates for 1 pound follow 1 Pound Jahuary 1, 201 oetober 1, 2017 Decenber 31, 2017 verage for 2017 2.25 2e- .24 Prepare an income statement, statement of retained earnings, and balance sheet for this subsidiary in pounds and then translate these amounts into U.S.dollars Complete this question by entering your answers in the tabs below Earnings Balance Prepare a Income Statement. (Amounts to be deducted should be indicated by a minus sign.) 5 8 9 History Bookmarks Window Help , Sun 1:49 PM Help Save &Exit Submit Sullivan's Island Company began operating a subsidiary in a foreign country on January 1, 2017, by investing capital in the amount of 106,000 pounds. The subsidiary immediately borrowed 255,000 pounds on a five-year note with 9 percent interest payable annually beginning on January 1, 2018. The subsidiary then purchased for 361,000 pounds a building that had a 10-year expected life and no salvage value and is to be depreciated using the straight-line method. Also on January 1, 2017, the subsidiary rented the building for three years to a group of local attomeys for 5,000 pounds per month. By year-end, rent payments totaling 50,000 pounds had been received, and 10,000 pounds was in accounts receivable. On October 1, 4,700 pounds was paid for a repair made to the building The subsidiary transferred a cash dividend of 3,000 pounds back to Sullivan's Island Company on December 31, 2017. The functional currency for the subsidiary is the pound. Currency exchange rates for 1 pound follow 1 Pound Jahuary 1, 201 oetober 1, 2017 Decenber 31, 2017 verage for 2017 2.25 2e- .24 Prepare an income statement, statement of retained earnings, and balance sheet for this subsidiary in pounds and then translate these amounts into U.S.dollars Complete this question by entering your answers in the tabs below Earnings Balance Prepare a Income Statement. (Amounts to be deducted should be indicated by a minus sign.) 5 8 9