Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Poert Inc., a Portuguese firm was acquired by a U.S. company on January 1, 2019. Selected account balances are available for the year ended

Poert Inc., a Portuguese firm was acquired by a U.S. company on January 1, 2019. Selected account balances are available for the year ended December 31, 2020, and are stated in Euro, the local currency. Sales 450,000 Inventory (bought on February 1, 2020) 20,000 Equipment (bought on January 1, 2019) 90,000 Dividends (paid on September 1, 2020) 20,000 Accumulated depreciation-Equipment 12/31/20 45,000 Depreciation expense-Equipment, 2020 9,000 Relevant exchange rates for 1 Euro are given below: January 1, 2019 $0.91 January 1, 2020 0.93 February 1, 2020 0.94 September 1, 2020 0.97 December 31, 2020 1.01 4th quarter average, 2019 0.90 4th quarter average, 20200.98 Average, 2020 0.95 Assume the functional currency is the Euro; compute the U.S. income statement amount for sales for 2020.

Step by Step Solution

3.44 Rating (160 Votes )

There are 3 Steps involved in it

Step: 1

Income Statement for the Year 2020 Amount Particulate P... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting Volume 1

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Irene M. Wiecek, Bruce J. McConomy

12th Canadian edition

119-49633-5, 1119496497, 1119496330, 978-1119496496

More Books

Students also viewed these Accounting questions