On January 1, 2024, Trenten Systems, a U.S.- based company, purchased a controlling interest in Grant Management Consultants located in Zurich, Switzerland. The acquisition was treated as a purchase transaction. The 2024 financial statements stated in Swiss francs are given below.

Required:
A. Translate the year- end balance sheet and income statement of the foreign subsidiary using the current rate method of translation.
B. Prepare a schedule to verify the translation adjustment.

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GRANT MANAGEMENT CONSULTANTS Comparative Balance Sheets January 1 and December 31, 2024 Jan. 1 Cash and Receivables Net Property, Plant, and Equipment Totals Accounts and Notes Payable Common Stock Retained Earnings Totals 20,000 40,000 60,000 30,000 20,000 10,000 60,000 Dividends Declared and Paid Increase in Retained Earnings Direct exchange rates for Swiss franc are: Revenues Operating Expenses including Depreciation of 3,000 francs Net Income Dec. 31 55,000 37,000 92,000 GRANT MANAGEMENT CONSULTANTS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2024 32,000 20,000 40,000 92,000 75,000 30,000 45,000 15,000 30,000