king all of its operating decisions, including pricing of its products. You conclude, therefore, that the functional currency of this subsidiary is the $US and that its financial statements must be remeasured using the temporal method prior to consolidation. The subsidiary's financial statements (in CAD) for the most recent year follow in part a. below: The relevant exchange rates for the $US value of the Canadian Dollar (CAD) are as follows: $0.95 $1.05 $0.98 $1.04 BOY rate EOY rate Avg. rate Dividend rate Historical rates: Beginning inventory $0.95 Land $0.70 Building $0.72 Equipment $0.73 Historical rate (common stock and APIC) $0.50 For parts a. and b. below, use a negative sign with answers to indicate a reduction. a. Remeasure the subsidiary's income statement, statement of retained earnings, and balance sheet into $US using the temporal method for the current year (assume that the BOY Retained Earnings is $5,750,775). Round all answers in the "In US Dollars" column to the nearest dollar.

Remeasurement of financial statements forparto a and b below use a netative sign with arweers to indicate e reduction. is.7xatis! b. A Compute the remeasurement gain or loss directly assuming BOY net monetary assets of (2,311,200), a net monetary liability. Round all answers to the nearest dollar