7796487-Accounting

7796487-Accounting - (c) Equipment-Current exchange rate at...

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Question: The foreign currency is the functional currency for a foreign subsidiary. At what exchange rate should each of the following accounts be translated? a. rent expense b. dividend paid c. equipment d. notes payable e. sales f. depreciation expense g. cash h. accumulated depreciation i. common stock Solution: Computation of the following exchange rate need to considered (a) Rent expenses-Historical exchange rate (b) Dividends paid-Historical exchange rate
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Unformatted text preview: (c) Equipment-Current exchange rate at balance sheet date (d) Notes Payable- Current exchange rate at balance sheet date (e) Sales-Weighted average exchange rate (f) Depreciation expenses- Weighted average exchange rate (g) Cash- Current exchange rate at balance sheet date (h) Accumulated Depreciation- Current exchange rate at balance sheet date (i) Common stock- Current exchange rate at balance sheet date...
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