On January $1,20$X$1,$ Popular Creek Corporation organized SunTime Company as a subsidlary in Switzerland with an initial investment

cost of Swlss francs $($SFr$)60,000.$ SunTime's December $31,20$X$1,$ trial balance in SFr is as follows:

Additional Information

The recelvable from Popular Creek is denominated in Swiss francs. Popular Creek's books show a $$4,000$ payable to SunTIme.

Purchases of Inventory goods are made evenly during the year. Items in the ending Inventory were purchased November $1.$

Equipment is depreciated by the straight$-$Ine method with a $10-$year life and no residual value. A full year's depreclation is taken in

the year of acquisition. The equipment was acquired on March $1.$

The dividends were declared and pald on November $1.$

Exchange rates were as follows:

The U$.$S$.$ dollar is the functional currency for the forelgn subsidlary.

Required:

a$.$ Prepare a proof of the remeasurement gain or loss.

Note: Amounts to be deducted should be entered with a minus sign. Round "exchange rate" answers to $2$ decimal places.