Question 1 (12 marks) Chow Jewellery Group Limited (CJG) manufactures and sells platinum and gold jewellery products. CIG operates retail networks in Hong Kong. Mainland China, Japan, and Korea. CIG reports its financial statements in Hong Kong dollars (HKS), its functional and presentation currency. Part A (5 marks) On 3 October 2021, CIG purchased gold cutting equipment from Japan at JP1,425,000, to be settled on 21 January 2022. CIG records such foreign currency transactions in HKS. The JP and HKS spot rates are: HKS/JP spot rates 3 October 2021 14.25 31 December 2021 14.76 21 January 2022 14.60 Required: (Support with detailed calculations and round to the nearest HKS.) 4. Show any exchange gain or loss for CIG on 31 December 2021, and 21 January 2022, respectively. (5 marks) Part B (7 marks) On 1 January 2021, CIG acquired a foreign operation in Singapore, Jew Design Singapore (JDS) JDS operates independently from CIG, and its functional currency is the Singapore dollar (SGS). JDS reported the following equity on 1 January 2021. Share Capital SGS 1,200,000 Retained Earnings 140,000 JDS reports an SGS170,000 profit after tax during 2021, declares no dividends, and prepares the following Statement of Financial Position on 31 December 2021. Assets and (Liabilities) Equity SGS Cash 100,000 Share Capital 1.200,000 Accounts Receivable 500,000 Retained Earnings 310,000 Intangible Assets 800,000 Buildings 1,000,000 Accounts Payable (110,000) Bank Loans (780,000) CIG translates JDS's Statement of Financial Position on 31 December 2021 to Hong Kong dollar (HKS) using the exchange rates below. SGS/HKS 1 January 2021 31 December 2021 Average for 2021 SGS 5.86 5.78 5.80 Required: (Support with detailed calculations.) B. Prepare the equity section of the translated Statement of Financial Position (in HKS) on 31 December 2021 (7 marks)