Problem 11-1 (algorithmic) Question He Ganado Europe (A). Using tacts in the chapter for Ganado Europe, assume the exchange rate on January 2, 2016 in Exhibit 115 dropped in value from S12600/ to 50.9400 Recalculate Ganado Europe's translated balance sheet for January 2, 2016, with the new exchange rate using the current rate method as shown in the popup window, a. What is the amount of translation gain or loss? b. Where should it appear in the financial statements? a. What is the amount of translation gain or loss? Enter a positivo number for a gain and negative for a loss (Round to the nearest dollar Data Table EXHIBIT 11.5 Ganado Europe's Translation Loss After Depreciation of the Euro: Current Rate Method December 31, 2015 January 2, 2016 Exchange Rate Translated Exchange Rate Translated Assets In Euros () (US$/euro) Accounts (US$) (USS/euro) Accounts (US$) Cash 1,400,000 1.2600 $1,764,000 0.9400 $1,316,000 Accounts receivable 3,000,000 1.2600 3,780,000 0.9400 2,820,000 Inventory 2,000,000 1.2600 2,520,000 0.9400 1880,000 Net plant and equipment 5,400,000 1.2600 6,804,000 0.9400 5,076,000 Total 11,800,000 $14,868,000 $11,092,000 Liabilities and Net Worth Accounts payable 1,400,000 1.2600 $1,764,000 0.9400 $1,316,000 Short-term bank debt 1.100,000 1.2600 1,386,000 0.9400 1,034,000 Long-term debt 2,000,000 1.2600 2.520.000 0.9400 1.880.000 Common stock 1,600,000 1.3210 2.113.600 1.3210 2,113,600 Retained earnings 5,700,000 1.2600 (a) 7.182.000 1.2600 (6) 7.182.000 Translation adjustment (CTA) (97.600) (2.433,600) Total 11.800.000 $14.868.000 $11,092.000 (a) Dollar retained earnings before depreciation are the cumulative sum of additions to retained earnings of all prior years. translated to exchange rates in each year (b) Translated into dollars at the same rate as before depreciation of the euro Tanared on the font camera dan tanntents into a spreadsheet Print Done Problem 11-1 (algorithmic) Question He Ganado Europe (A). Using tacts in the chapter for Ganado Europe, assume the exchange rate on January 2, 2016 in Exhibit 115 dropped in value from S12600/ to 50.9400 Recalculate Ganado Europe's translated balance sheet for January 2, 2016, with the new exchange rate using the current rate method as shown in the popup window, a. What is the amount of translation gain or loss? b. Where should it appear in the financial statements? a. What is the amount of translation gain or loss? Enter a positivo number for a gain and negative for a loss (Round to the nearest dollar Data Table EXHIBIT 11.5 Ganado Europe's Translation Loss After Depreciation of the Euro: Current Rate Method December 31, 2015 January 2, 2016 Exchange Rate Translated Exchange Rate Translated Assets In Euros () (US$/euro) Accounts (US$) (USS/euro) Accounts (US$) Cash 1,400,000 1.2600 $1,764,000 0.9400 $1,316,000 Accounts receivable 3,000,000 1.2600 3,780,000 0.9400 2,820,000 Inventory 2,000,000 1.2600 2,520,000 0.9400 1880,000 Net plant and equipment 5,400,000 1.2600 6,804,000 0.9400 5,076,000 Total 11,800,000 $14,868,000 $11,092,000 Liabilities and Net Worth Accounts payable 1,400,000 1.2600 $1,764,000 0.9400 $1,316,000 Short-term bank debt 1.100,000 1.2600 1,386,000 0.9400 1,034,000 Long-term debt 2,000,000 1.2600 2.520.000 0.9400 1.880.000 Common stock 1,600,000 1.3210 2.113.600 1.3210 2,113,600 Retained earnings 5,700,000 1.2600 (a) 7.182.000 1.2600 (6) 7.182.000 Translation adjustment (CTA) (97.600) (2.433,600) Total 11.800.000 $14.868.000 $11,092.000 (a) Dollar retained earnings before depreciation are the cumulative sum of additions to retained earnings of all prior years. translated to exchange rates in each year (b) Translated into dollars at the same rate as before depreciation of the euro Tanared on the font camera dan tanntents into a spreadsheet Print Done