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On 1 July 2020 Kiwi Limited acquired all the shares in Dinki Di Limited, a company incorporated in Australia. Dinki Di's summarised financial information at
On 1 July 2020 Kiwi Limited acquired all the shares in Dinki Di Limited, a company incorporated in Australia. Dinki Di's summarised financial information at 30 June 2021 is shown below: Financial information AUD Current assets 170,000 Non-current assets 700,000 Liabilities (300,000) Net assets 570,000 Share capital 325,000 Reserves 75,000 Retained earnings b/f 250,000 Loss for the year (80,000) Shareholders' equity 570,000 Additional information Kiwi's presentation currency is New Zealand dollars. Dinki Di's functional currency is Australian dollars. There are no dividends paid or payable for the year ended 30 June 2021. The share capital and reserves shown above are the same as that at acquisition date. The exchange rates for the year ended 30 June 2021 are as follows: Exchange rates Date NZD AUD 1 July 2020 1.00 0.9762 30 June 2021 1.00 0.9074 1 July 2020-30 June 2021 average rate 1.00 0.9441 What is the balance in the foreign currency translation reserve (FCTR) at 30 June 2021 as a result of translating Dinki Di's financial statements into New Zealand dollars? A. NZD 47,057 credit. B. NZD 24,418 debit. C. NZD 24,418 credit. D.NZD 47,057 debit
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