QUESTION 21 ABC Company had the following balance sheet, expressed in millions of pesos, on December 31, 2013: Assets Cash Accounts Receivable Inventories Net Plant and Equipment 400 200 800 600 Liabilities and Net Worth Accounts payable 500 LT Debt 300 Capital Stock 400 Retained Earnings 800 Relevant exchange rates are as follows: 5.08 Peso Inventory was acquired at this rate and capital stock was issued at this rate. 5.10/Peso Plant and equipment was acquired at this rate as was long-term debt. This was also the exchange rate on December 31, 2013. 5.12/ Peso Exchange rate for January 1, 2014 As of December 31, 2013, assume the value of retained earnings under the current rate method was $80 million. Under the current rate method, what is the value of the CTA account on January 1, 2014? Less than $20 million Between $20 million and $30 million Between $30 million and $35 million Over 35 million QUESTION 22 Under the temporal method, what is the exchange gain or loss between December 31, 2013, and January 1, 2014? Loss between 0 and $5 million Loss greater than $5 million Gain between 0 and $5 million Gain greater than $5 million QUESTION 23 Under the temporal method, what is the value of the exposed assets in dollars on December 31, 2013? 60 million 140 million 200 million Not enough information to determine Answers AB, C, and D are all false