Sendelbach Corporation is a U.S.-based organization with operations throughout the world. One of its subsidiaries is headquartered in Toronto. Although this wholly owned company operates primarily in Canada, it engages in some transactions through a branch in Mexico. Therefore, the subsidiary maintains a ledger denominated in Mexican pesos (Ps) and a general ledger in Canadian dollars (C$). As of December 31, 2020, the subsidiary is preparing financial statements in anticipation of consolidation with the U.S. parent corporation. Both ledgers for the subsidiary are as follows: Credit C$ 37,530 40,000 63,000 Main Operation-Canada Debit Accounts payable Accumulated depreciation Buildings and equipment C$ 180,000 Cash 39,000 Common stock Cost of goods sold 216,000 Depreciation expense 8,200 Dividends, 4/1/20 32,000 Gain on sale of equipment, 6/1/20 Inventory 92,000 Notes payable-due in 2023 Receivables 81,000 Retained earnings, 1/1/20 Salary expense 36,000 Sales Utility expense 10,300 Branch operation 7,920 Totals C$ 702,420 6,300 82,000 148,590 325,000 C$ 702,420 Credit Ps 63,800 38,300 Branch OperationMexico Debit Accounts payable Accumulated depreciation Building and equipment Ps 53,000 Cash cas 65,500 Depreciation expense 3,300 Inventory (beginning-income statement) 36,000 Inventory (ending-income statement) Inventory (ending-balance sheet) 34,500 Purchases 70,000 Receivables 34,000 Salary expense 10,300 Sales Main office Totals Ps 306,600 34,500 137,000 33,000 Ps 306,600 Additional Information The Canadian subsidiary's functional currency is the Canadian dollar, and Sendelbach's reporting currency is the U.S. dollar. The Canadian and Mexican operations are not viewed as separate accounting entities. The building and equipment used in the Mexican operation were acquired in 2010 when the currency exchange rate was C$0.23 = Ps 1. Purchases of inventory were made evenly throughout the fiscal year. Beginning inventory was acquired evenly throughout 2019; ending inventory was acquired evenly throughout 2020. The Main Office account on the Mexican records should be considered an equity account. This balance was remeasured into C$7,920 on December 31, 2020. Currency exchange rates for 1 Ps applicable to the Mexican operation follow: Req A Req B and C Remeasure the Mexican operation's account balances into Canadian dollars. (Note: Back into the beginning net monetary asset or liability position.) (Input all amounts as positive values.) Canadian Dollars Debit Credit Accounts payable Accumulated depreciation Building and equipment Cash Depreciation expense Inventory (beginning-income statement) Inventory (ending-income statement) Inventory (ending-balance sheet) Purchases Receivables Salary expense Sales Main office Total Req A Req B and C Remeasure the Mexican operation's account balances into Canadian dollars. (Note: Back into the beginning net monetary asset or liability position.) (Input all amounts as positive values.) Canadian Dollars Debit Credit Accounts payable Accumulated depreciation Building and equipment Cash Depreciation expense Inventory (beginning-income statement) Inventory (ending-income statement) Inventory (ending-balance sheet) Purchases Receivables Salary expense Sales Main office Total b. Prepare financial statements (income statement, statement of retained earnings, and balance sheet) for the Canadian subsidiary in its functional currency, Canadian dollars. c. Translate the Canadian dollar functional currency financial statements into U.S. dollars so that Sendelbach can prepare consolidated financial statements. (Round U.S. Dollar values to 2 decimal places. Amounts to be deducted and losses should be indicated with a minus sign.) Show less SENDELBACH CORPORATION Financial Statements For the Year Ended December 31, 2020 Canadian Dollar U.S. Dollar Income Statement: C$ C$ C$ Statement of Retained Earnings: Retained earnings, 1/1/20 C$1 Statement of Retained Earnings: Retained earnings, 1/1/20 C$ Retained earnings, 12/31/20 c$ $ Balance Sheet: Assets: C$ Total C$ Liabilities and Equities: C$ Total C$