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MissTica
3 years ago
10

Miguel Corporation, a foreign subsidiary of a U.S. parent company, has one asset (Land) and no liabilities. The functional curre

ncy for this subsidiary is the U.S. dollars. The land was acquired for 10,000,000 pesos when the exchange rate was $1=20 pesos. Consolidated statements are to be produced, and the current exchange rate is $1=25 pesos. Which of the following statements is true for the consolidated financial statements?a) A remeasurement gain must be reported.b) A positive translation adjustment must be reported.c) A negative translation adjustment must be reported.d) A remeasurement loss must be reported.
Business
1 answer:
user100 [1]3 years ago
5 0

Answer:

All the 4 statements are correct.

Explanation:

The International Accounting Standard on Currency changes says that the all the assets and liabilities of the subsidiary must be reported at market value of the asset both at the end of the year and at the time of sale of asset & payment of liability. So this means that the statement a and d are correct statements because the translation gain or loss is reported by using the spot rate which is the market value of the asset in the parent company's currency. Similarly, the statement b and c are correct because at the time of sale of subsidiary assets we are actually recognizing the remeasurement gain or loss by using the spot rate, which is the market value of the asset in the parent company's currency.

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Acme enterprises began the new year owing its suppliers $3,000 for merchandise purchased last year. Acme then sold half of this
Zanzabum

Answer:

$8500

Explanation:

Beg AP bal = 3000

Sold 1/2 of merch on acct = add 2500

Paid suppliers = subtract 1000

Bought more merch on acct = add 4000

3000 + 2500 - 1000 + 4000 = 8500

Ending AP bal = 8500

4 0
2 years ago
Which of the following is NOT a chief advantage of mass transit over other forms of transportation?
Aleksandr [31]
I believe it's D. Freedom from car owner responsibilities. Mass transit or public transit enable to carry a bigger number of persons in one way transport. Thus, it helps the economy to grow at the same time, it saves energy since in just 1 transport a lot of people can already ride on it. Plus, it gives flexible door to door services
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3 years ago
the stage of Team development during which a group sets guidelines about issues like attendance and punctuality
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The stage of team development during which a group sets guidelines about issues like attendance and punctuality is the norming stage.

What is norming stage of team development?

During the norming stage, agreement arises over the identity of the leader or leaders and the responsibilities of each member. A sense of coherence and unity begins to emerge when interpersonal conflicts start to be resolved. As members start to work together and begin to concentrate on the team's objectives, team performance improves at this stage.

What happens in the norming stage of team development?

Members become more focused on the team's objectives and exhibit a rise in productivity throughout the Norming stage, both in their individual and group work. The team can decide that now is the right time to assess their working methods and productivity.

Learn more about norming stage of team development: brainly.com/question/3438659

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3 0
1 year ago
Marvin was interested in how his target market spends money around the November/December holidays. He first reviewed existing da
andrezito [222]

Answer: secondary data

Explanation:

The type of data above is refered to as a secondary data. Secondary data simply refers to the data that have already been gotten or collected from the past.

Unlike the primary data, which is collected by the individual, secondary data have already been done in the past. Since he first reviewed existing data on seasonal spending collected by the government, this is a secondary data

3 0
2 years ago
What is the value of a preferred stock where the dividend rate is 14% on a $100 par value? Assume the discount rate for this sto
Ulleksa [173]

Answer:

Value of preferred stock will be $140

Explanation:

We have given par value of preferred stock = $100

Dividend rate = 14 %

Discount rate on preferred stock = 12%

Preferred stock dividend =face\ value\times dividend\ rate=100\times 0.14=14

We have to find the value of preferred stock

Value of preferred stock =\frac{preferred\ stock\ dividend}{discount\ rate}=\frac{14}{0.1}=140

So value of preferred stock will be $140

8 0
3 years ago
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