On October 15, 20X1, Planet Company sold inventory to Stars Corporation, its Mexican subsidiary. The goods cost Planet $2,700 and were sold to Stars for $3,500, payable in Mexican pesos. The goods are still on hand at the end of the year on December 31. The Mexican peso is the functional currency of Stars. The exchange rates follow:

October 15	1 peso	=	$	0.07
December 31	1 peso	=	$	0.08

29) Based on the preceding information, at what dollar amount is the ending inventory shown in the subsidiary's trial balance column of the consolidation worksheet?

A) $3,250

B) $3,500

C) $3,750

D) $4,000

(30) Based on the preceding information, what amount of unrealized intercompany gross profit is eliminated in preparing the consolidated financial statements for the year?

A) $0

B) $800

C) $1,000

D) $1,300

(31) Based on the preceding information, at what amount is the inventory shown on the consolidated balance sheet for the year?

A) $2,700

B) $3,200

C) $3,500

D) $4,000

Answers are bolded. Please explain how to calculate these numbers!