Assume that FASB 8 is still in effect instead of FASB 52. Construct a consolidated balance sheet for Centralia Corporation and its affiliates after a depreciation of the euro from €1.1000/$1.00 to €1.1786/$1.00 that is the counterpart to Exhibit 10.7 m the text. Centralia and its affiliates carry inventory and fixed assets on the books at historical values.

Exhibit 10.7

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Consolidated Balance Sheet for Centralia Corporation and Its Mexican and Spanish Affiliates, December 31, 2011: Post-Exchange Rate Change (in 000 Dollars) EXHIBIT 10.7 Consolidated Spanish Affiliate Centralia Corp. (Parent) Mexican Balance Sheet Affiliate Assets Cash $ 2,250 3,237 5,900 $ 700 $ 950° 1,450b 3,000 $ 600 887 900 Accounts receivable Inventory Investment in Mexican affiliate Investment in Spanish affiliate Net fixed assets Total Assets 1,400 1,500 _d 17,333 $ 28,720 3,733 4,600 9,000 Liabilities and Net Worth Accounts payable Notes payable Long-term debt Common stock Retained earnings $ 3,657 4,943 12,797 3,500 3,950 (127) $ 28,720 $1,157 1,043e 2,987 $ 700 1,700 2,700 $ 1,800 2,200 7,110 3,500 3,950 CTA Total liabilities and net worth