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please helpp me 7. Al-Kamel Company is an Omani Inc. with wholly owned subsidiary in United Kingdom. The following are the financial statements of its
please helpp me
7. Al-Kamel Company is an Omani Inc. with wholly owned subsidiary in United Kingdom. The following are the financial statements of its subsidiary recorded in UK pound Income statement for the year ended December 31, 2018 Exch. rate O.R Sales 50,000 Cost of goods sold 20,000 Gross profit 30,000 Operating expenses 12.000 Translation gain (loss) income before tax 18,000 Income tax 4,000 Net Income 14,000 Cash Dividends 3.000 Income retained 11,000 O.R Balance sheet as it is on December 31, 2018 f Exch. rate Cash 8,000 A/R 12,000 Inventory 9,000 Plant assets 45,000 Long term investments 16,000 Total 90,000 A/P 6,000 Accrued liabilities 5,000 Bonds payable 10,000 50,000 Capital stock Relevant exchange rates Capital stock issued, and 70% of the plant assets acquired 1 = 0.45 The other plant assets acquired 0.52 0.50 0.53 Rate for December 31, 2017 inventory (O.R 1,500) 0.48 Rate for December 31, 2018 inventory 0.51 Dividend rate 0.52 Retained carnings 31/12/2017 O.R 1.100 Average for 2018 December 31, 2018 Required: Use the temporal rate method to translate the above financial statements to Omani Rial Step by Step Solution
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