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On January 1, 2018, Veldon Co., a U.S. corporation with the U.S. dollar as its functional currency, established Malont Co. as a subsidiary. Malont is
On January 1, 2018, Veldon Co., a U.S. corporation with the U.S. dollar as its functional currency, established Malont Co. as a subsidiary. Malont is located in the country of Sorania, and its functional currency is the stickle (). Malont engaged in the following transactions during 2018:
1-Jan-18 | Issued common stock for 500,000 | ||||
14-Jul-18 | Sold a patent at a gain of 40,000 | ||||
1-Oct-18 | Paid dividends of 60,000 | ||||
Malont's operations revenues and expenses for 2018 were 800,000 | |||||
and 800,000 , respectively. The appropriate exchange rates were : | |||||
1-Jan-18 | 1 = $2.5 | ||||
14-Jul-18 | 1 = $2.5 | ||||
1-Oct-18 | 1 = $2.6 | ||||
31-Dec-18 | 1 = $2.7 | ||||
Average for 2018 | 1 = $2.4 |
Required:
Calculate the translation adjustment for Malont. (Round your answers to the nearest whole dollar.)
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