Trident Europe (D). Using facts in the chapter for Trident Europe, assume as in Problem 3 that the exchange rate on January 2, 2006, in Exhibit 10.4 appreciated from $1.2000/ to $1.5000/. Calculate Tri- dent Europes translated balance sheet for January 2, 2006, with the new exchange rate using the temporal method.

What is the amount of translation gain or loss?

Where should it appear in the financial

statements?