On 1 July 2019 an Australian company established Meggs Ltd as a foreign subsidiary, contributing A$1 million in capital. At the same time, Meggs Ltd borrowed FC400 000 at 20% per annum from a bank in the foreign country. The ledger account balances at 30 June 2020 for the foreign subsidiary are as follows:

Cash at bank 1 400 000

Inventory (purchased on 12 June 2020) 320 000

Non-current assets (purchased on 5 July 2019) 1 200 000

Purchases 920 000

Wages and salaries 400 000

Sales revenue 1600 000

Depreciation 400 000

Interest paid 80 000

The following spot rates may be relevant:

1 July 2019

A$1 = FC25

July 2020A$1 = FC212

June 2020A$1 = FC3.530

June 2020A$1 = FC4

Average for the period 1 July 2019 to 30 June 2020 A$1 = FC3

The presentation currency of the Australian entity is Australian dollars.

Required

Translate the operating results and financial position of the foreign subsidiary into the presentation currency of the Australian company in accordance with the requirements ofAASB 121.