Chapter_10_XLSol - Student Name: Instructor Class:...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: Student Name: Instructor Class: McGraw-Hill/Irwin Problem 10-31 a. Translation of Kingston Subsidiary Trial Balance Debits Credits Cash Correct! - $12,960 Accounts receivable Correct! - 14,580 Equipment Correct! - 4,860 Accumulated depreciation $972 - Correct! Land Correct! - 8,100 Accounts payable 4,860 - Correct! Notes payable 8,100 - Correct! Common stock 17,100 - Correct! Dividends paid Correct! - 6,640 Sales 41,000 - Correct! Salary expense Correct! - 8,200 Depreciation expense Correct! - 984 Miscellaneous expenses Correct! - 14,760 Correct! - $71,084 Translation adjustment Correct! - 948 Totals Correct! - $72,032 $72,032 - Correct! Calculation of Translation Adjustment Exchange KQ Rate Dollar Net assets, 1/1- - - Correct! Increase in net assets: Common stock issued 10,000 1.71 $17,100 - Correct! Sales 25,000 1.64 41,000 - Correct! Decrease in net assets: Dividends paid (4,000) 1.66 (6,640) - Correct! Salary expense (5,000) 1.64 (8,200) - Correct! Depreciation expense (600) 1.64 (984) - Correct! Miscellaneous expense (9,000) 1.64 (14,760) - Correct! Net assets, 12/31 16,400 $27,516 - Correct! Net assets, 12/31 at current 16,400 1.62 26,568 - Correct! exchange rate Translation adjustment $948 - Correct! b. Remeasurement of Kingston Subsidiary Trial Balance Debits Credits Cash Correct! - $12,960 Accounts receivable Correct! - 14,580 Equipment Correct! - 5,130 Accumulated depreciation $1,026 - Correct! Land Correct! - 7,950 Accounts payable 4,860 - Correct! Notes payable 8,100 - Correct! Common stock 17,100 - Correct! Dividends paid Correct! - 6,640 Sales 41,000 - Correct! Salary expense Correct! - 8,200 Depreciation expense Correct! - 1,026 Miscellaneous expenses Correct! - 14,760 Correct! - $71,246 Remeasurement loss Correct! - 840 Totals Correct! - $72,086 $72,086 - Correct! Calculation of Remeasurement Loss Exchange KQ Rate Dollar Net monetary assets, 1/1- - - Correct! Increase in net monetary assets: Common stock issued 10,000 1.71 $17,100 - Correct! Sales 25,000 1.64 41,000 - Correct! Decrease in net monetary assets: Acquired equipment (3,000) 1.71 (5,130) - Correct! Acquired land (5,000) 1.59 (7,950) - Correct! Dividends paid (4,000) 1.66 (6,640) - Correct! Salary expense (5,000) 1.64 (8,200) - Correct! Miscellaneous expense (9,000) 1.64 (14,760) - Correct! Net monetary assets, 12/31 9,000 $15,420 - Correct! Net monetary assets, 12/31 9,000 1.62 14,580 - Correct! at current exchange rate Remeasurement loss $840 - Correct! Given P10-31: Kingsfield investment in subsidiary (in Kumquats) 10,000 KQ Expended to acquire equipment 3,000 KQ Currency exchange (KQ 1): January 1, 2009 $1.71 April 1, 2009 $1.59 June 1, 2009 $1.66 Weighted average - 2009 $1.64 December 31, 2009 $1.62 Subsidiary trial balance, December 31, 2009 Debits Credits Cash KQ 8,000 Accounts receivable 9,000 Equipment 3,000 Accumulated depreciation KQ 600 Land 5,000 Accounts payable...
View Full Document

Page1 / 10

Chapter_10_XLSol - Student Name: Instructor Class:...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online