. Troy, Ltd is the Thai subsidiary of a U.S. toy manufacturer. Sales are primarily in the U.S. and Europe. Troys balance sheet in thousands of Thai baths (B) as of March 31 as follows:

Balance Sheet, March 31,thousands of Thai baht

Assets

Cash B24,000

Accounts receivable 36,000

Inventory 48,000

Net plant & equipment 60,000

B168,000

Liabilities & Net Worth

Accounts payable B18,000

Long-term debt 60,000

Common stock 18,000

Retained earnings 72,000

B168,000

Exchange rates for translating Troys balance sheet into U.S. dollars are:

0.031$/BMarch 31, exchange rate, before 25% appreciation.

0.03875/B April 1, exchange rate after 25% appreciation

The Thai baht increased in value from 0.031$/B to 0.03875$/B between March 31 and April 1. Assuming no change in balance sheet accounts between these two days, calculate the gain or loss from translation by both the current rate method and the temporal method (6 points).