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On January 1, 2014, U.S. company purchased 100% of the outstanding stock of Ventana Gran, company located in Lat City, New Zealand. Ventana Grains was

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On January 1, 2014, U.S. company purchased 100% of the outstanding stock of Ventana Gran, company located in Lat City, New Zealand. Ventana Grains was red on January 1, 2000. All the property, plant, and equipment held on January 1, 2014, was scared when the company was organised. The business combination was accounted for as a purchase transaction. The 2014 financial statements for Ventana Grains, prepared in its local currency, the New Zealand doorgeven here. VENTANA GRAINS Comparative Balance Sheets January 1 and December 31, 2014 Cash and Receivables Inventory Land Buildings net) Coment(net) Totals Short Term Accounts and Notes Long Term Notes (602,000 issued September 1, 2006, 78,000 issued July 1, 2014) Common Stock Additional Paid-in Capital Retained Earnings Total 500.000 373,000 600,000 502.000 300,000 35,000 647,000 602.000 467,000 460,000 2,610,000 2.841.000 290,000 212,000 602,000 680,000 800,000 10,000 200,000 200,000 710,000 949.000 2,610,000 2,841,000 VENTANA GRAINS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2014 Revendes 3,235,000 Cost of Goods Sold: VENTANA GRAINS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2014 Revenues 3,233,000 Cost of Goods Sold: Beginning Inventory 600,000 Purchases 2,091,000 Goods Available for Sale 2,691,000 Less: Ending Inventory 502,000 Cost of Goods Sold 2,189,000 Gross Profit on Sales 1,044,000 Depreciation Expense 140,000 Other Expenses 537,000 677,000 Net Income 367,000 Jan. 1 Retained Earnings 710,000 Total 1,077,000 Less: Dividends Paid 128,000 Dec. 31 Retained Earnings 949,000 The account balances are computed in conformity with U.S. generally accepted accounting standards. Other information is as follows: 1. Direct exchange rates for the New Zealand dollar on various dates were: Date January 1, 2000 September 1, 2010 January 1, 2014 Exchange Rate $0.8011 0.5813 0.7924 BA The account balances are computed in conformity with us. generally accepted accounting Standards Other information is as follows: 1. Direct exchange rates for the New Zealand dollar ovanoul dates were buto January 1, 2000 50.5011 September 1, 2010 0:5813 January 1, 2014 0.7924 July 1, 2014 0.7412 December 31, 2014 0.7298 Average for 2014 0.7480 Average for the last four months of 2014 0.7476 2. Ventana Grains purchased additional equipment for 90,000 New Zealand dollars on July 1, 2014, by sing a note for 78,000 New Zealand dollars and paying the balance 3. Sales were made and purchases and other Expenses were incurred evenly throughout the year. 4. Depreciation for the period in New Zealand dollars was computed as follows: Building 45,000 Equipment --Purchased before 1/1/2014 85.400 Equipment Purchased July 1, 2014 5. The inventory is valued on a pro basis. The beginning inventory was scared what the exchange rate was 50.7480. The ending inventory was acquired during the last four months of 2014 6. Dividends of 64,000 New Zealand dollars were paid on July 1 and December 31 9.600 Prepare a schedule to verify the translation in or los determined in part. Describe how the translation gain or loss would be worted on the financial statements (Hound answers to decimal places. 125. Enter loss using either a negative soign preceding the numberg, or parentheses (2.945) New Click if you would like to show Work for this question On Show Work On January 1, 2014, U.S. company purchased 100% of the outstanding stock of Ventana Gran, company located in Lat City, New Zealand. Ventana Grains was red on January 1, 2000. All the property, plant, and equipment held on January 1, 2014, was scared when the company was organised. The business combination was accounted for as a purchase transaction. The 2014 financial statements for Ventana Grains, prepared in its local currency, the New Zealand doorgeven here. VENTANA GRAINS Comparative Balance Sheets January 1 and December 31, 2014 Cash and Receivables Inventory Land Buildings net) Coment(net) Totals Short Term Accounts and Notes Long Term Notes (602,000 issued September 1, 2006, 78,000 issued July 1, 2014) Common Stock Additional Paid-in Capital Retained Earnings Total 500.000 373,000 600,000 502.000 300,000 35,000 647,000 602.000 467,000 460,000 2,610,000 2.841.000 290,000 212,000 602,000 680,000 800,000 10,000 200,000 200,000 710,000 949.000 2,610,000 2,841,000 VENTANA GRAINS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2014 Revendes 3,235,000 Cost of Goods Sold: VENTANA GRAINS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2014 Revenues 3,233,000 Cost of Goods Sold: Beginning Inventory 600,000 Purchases 2,091,000 Goods Available for Sale 2,691,000 Less: Ending Inventory 502,000 Cost of Goods Sold 2,189,000 Gross Profit on Sales 1,044,000 Depreciation Expense 140,000 Other Expenses 537,000 677,000 Net Income 367,000 Jan. 1 Retained Earnings 710,000 Total 1,077,000 Less: Dividends Paid 128,000 Dec. 31 Retained Earnings 949,000 The account balances are computed in conformity with U.S. generally accepted accounting standards. Other information is as follows: 1. Direct exchange rates for the New Zealand dollar on various dates were: Date January 1, 2000 September 1, 2010 January 1, 2014 Exchange Rate $0.8011 0.5813 0.7924 BA The account balances are computed in conformity with us. generally accepted accounting Standards Other information is as follows: 1. Direct exchange rates for the New Zealand dollar ovanoul dates were buto January 1, 2000 50.5011 September 1, 2010 0:5813 January 1, 2014 0.7924 July 1, 2014 0.7412 December 31, 2014 0.7298 Average for 2014 0.7480 Average for the last four months of 2014 0.7476 2. Ventana Grains purchased additional equipment for 90,000 New Zealand dollars on July 1, 2014, by sing a note for 78,000 New Zealand dollars and paying the balance 3. Sales were made and purchases and other Expenses were incurred evenly throughout the year. 4. Depreciation for the period in New Zealand dollars was computed as follows: Building 45,000 Equipment --Purchased before 1/1/2014 85.400 Equipment Purchased July 1, 2014 5. The inventory is valued on a pro basis. The beginning inventory was scared what the exchange rate was 50.7480. The ending inventory was acquired during the last four months of 2014 6. Dividends of 64,000 New Zealand dollars were paid on July 1 and December 31 9.600 Prepare a schedule to verify the translation in or los determined in part. Describe how the translation gain or loss would be worted on the financial statements (Hound answers to decimal places. 125. Enter loss using either a negative soign preceding the numberg, or parentheses (2.945) New Click if you would like to show Work for this question On Show Work

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