This problem is adapted from our Chapter 10 exereise on the temporal method. Specifically, I have made a change to the initial exchange rate on the formation date of the subsidiary (from 0.50 to 0.52). Please update the worksheet aecordingly following this change, ensuring to answer the specified blanks with clear labels. 1/1/2010: Subsidiary was formed; Ex. Rate was 0.50-0.52. 1/1/2015: Exchange rate was 0.60 4/1/2015: Property was purchased; Ex. Rate was 0.62 4/15/2015: All the long-term debt were incurred; Ex., Rate was 0.63. 10/1/2015: Dividends were declared; Ex. Rate was 0.67 12/31/2015: Exchange rate was 0.68 Avg. Rate for 2015: 0.64 Assumptions: Revenue and cost of goods sold occurred uniformly throughout the year. Common Stock and APIC has remained constant since the establishment on 1/1/2010, Patent is fully amortized, thus not listed in the balance sheet. The patent was secured on 1/1/2012. When the Exchange Rate was 0.59 . \begin{tabular}{|c|c|} \hline \begin{tabular}{ll} & CHF \\ Sales & 3,000,000 \end{tabular} & \\ \hline Cost of Goods Sold (2,000,000) & 0.64 A (1,280,000) \\ \hline Gross Profit 1,000,000 & Spected violations \\ \hline Depreciation Expense (35,000) & 0.62H \\ \hline Amortization Expense & 0.58H \\ \hline Other Expenses & 0.64A \\ \hline Income Before Taxes & 533,400 \\ \hline Income Taxes & (159,360) \\ \hline Currency Exchange Gain/Loss & n/a (plug-in) \\ \hline Net Income 581,000 & n/a (below) \\ \hline & Itrod po \\ \hline & by wipected \\ \hline Retained Earnings, 1/1 & 0.64 (given) \\ \hline Net Income & 384,380(7)? \\ \hline Dividends & (100,500) \\ \hline Retained Earnings, 12/31 & n/a (below) \\ \hline Assets CHF & Exchange Rate \\ \hline Cash 121,000 & 0.68Cx1x4+1 \\ \hline Accounts Receivable & 0.68C \\ \hline \begin{tabular}{l} Inventory (evenly acquired this \\ year) \end{tabular} & 0.64A \\ \hline Property and Equipment & 0.62H \\ \hline Accumulated Depreciation & (74,400) \\ \hline Total Assets & 983,880 \\ \hline \end{tabular} Blanks (7) and (8) should have the same number. How much is it