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$). As of December 31, 2020, the subsidiary is preparing financial statements in anticipation of consolidation with the U.S. parent corporation. Both ledgers for the subsidiary are as follows: Main OperationCanada Debit Credit Accounts payable C$ 61,850 Accumulated depreciation 51,000 Buildings and equipment C$ 191,000 Cash 50,000 Common stock 74,000 Cost of goods sold 227,000 Depreciation expense 9,300 Dividends, 4/1/20 43,000 Gain on sale of equipment, 6/1/20 7,400 Inventory 103,000 Notes payabledue in 2023 93,000 Receivables 92,000 Retained earnings, 1/1/20 159,590 Salary expense 47,000 Sales 336,000 Utility expense 11,400 Branch operation 9,140 Totals C$ 782,840 C$ 782,840 Branch OperationMexico Debit Credit Accounts payable Ps 80,400 Accumulated depreciation 56,400 Building and equipment Ps 64,000 Cash 71,000 Depreciation expense 4,400 Inventory (beginningincome statement) 47,000 Inventory (endingincome statement) 40,000 Inventory (endingbalance sheet) 40,000 Purchases 81,000 Receivables 45,000 Salary expense 11,400 Sales 148,000 Main office 39,000 Totals Ps 363,800 Ps 363,800 Additional Information The Canadian subsidiarys functional currency is the Canadian dollar, and Sendelbachs 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$0.21 = 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$9,140 on December 31, 2020. Currency exchange rates for 1 Ps applicable to the Mexican operation follow: Weighted average, 2019 C$ 0.26 January 1, 2020 0.28 Weighted average rate for 2020 0.30 December 31, 2020 0.31 The December 31, 2019, consolidated balance sheet reported a cumulative translation adjustment with a $60,950 credit (positive) balance. The subsidiarys common stock was issued in 2007 when the exchange rate was $0.53 = C$1. The subsidiarys December 31, 2019, retained earnings balance was C$159,590, an amount that has been translated into U.S.$63,343. The applicable currency exchange rates for 1 C$ for translation purposes are as follows: January 1, 2020 US$ 0.70 April 1, 2020 0.69 June 1, 2020 0.68 Weighted average rate for 2020 0.67 December 31, 2020 0.65 Remeasure the Mexican operations account balances into Canadian dollars. (Note: Back into the beginning net monetary asset or liability position.) Prepare financial statements (income statement, statement of retained earnings, and balance sheet) for the Canadian subsidiary in its functional currency, Canadian dollars. Translate the Canadian dollar functional currency financial statements into U.S. dollars so that Sendelbach can prepare consolidated financial statements.

Sendelbach Corporation is a U.S.-based organization with operations throughout the world. One of Its subsidlarles is headquartered in Toronto. Although this wholly owned company operates primarlly in Canada, it engages in some transactlons through a branch In Mexico. Therefore, the subsidlary maintains a ledger denominated in Mexican pesos (Ps) and a general ledger In Canadlan dollars (C\$). As of December 31,2020 , the subsidlary Is preparing financial statements in anticipation of consolidation with the U.S. parent corporation. Both ledgers for the subsidlary are as follows: Additional Information The Canadian subsidiary's functional currency is the Canadlan dollar, and Sendelbach's reporting currency Is the U.S. dollar. The Canadian and Mexican operatlons are not vlewed as separate accounting entitles. The bullding and equipment used in the Mexican operation were acqulred in 2010 when the currency exchange rate was C $0.21= 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\$9,140 on December 31,2020. Currency exchange rates for 1 Ps applicable to the Mexican operation follow: The December 31,2019 , consolidated balance sheet reported a cumulative translation adjustment with a $60,950 credit (positive) balance. The subsidiary's common stock was issued in 2007 when the exchange rate was $0.53=C$1. The subsidlary's December 31, 2019, retalned eamings balance was C $159,590, an amount that has been translated Into U.S.\$63,343. Purchases of Inventory were made evenly throughout the fiscal year. Beginning Inventory was acquired evenly throughout 2019; ending inventory was acqulred evenly throughout 2020. The Main Office account on the Mexican records should be considered an equlty account. This balance was remeasured Into C\$9,140 on December 31, 2020. Currency exchange rates for 1 Ps applicable to the Mexican operation follow: The December 31,2019 , consolidated balance sheet reported a cumulative translation adjustment with a $60,950 credit (positive) balance. The subsidiary's common stock was Issued in 2007 when the exchange rate was $0.53=C$1. The subsidiary's December 31, 2019, retalned eamings balance was C $159,590, an amount that has been translated Into U.S.S63,343. The applicable currency exchange rates for 1C for translation purposes are as follows: a. Remeasure the Mexican operation's account balances Into Canadlan dollars. (Note: Back Into the beginning net monetary asset or llability position.) b. Prepare financlal statements (Income statement, statement of retained earnings, and balance sheet) for the Canadlan subsidlary in Its functional currency, Canadlan dollars. c. Translate the Canadian dollar functional currency financlal statements into U.S. dollars so that Sendelbach can prepare consolidated financlal statements. Complete this question by entering your answers in the tabs below. 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.) Complete this question by entering your answers in the tabs below. 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.)