4. GR Inc is a US based MNC that conducts a part of its business in Singapore. Its US sales are denominated in US dollars while its sales in Singapore are denominated in Singaporean dollars. Its pro-forma income statement for the next year is shown below. Assume US Sales will be unaffected by the exchange rate. Also Assume the Singaporean dollar earning will be remitted to the US at the end of the period.

The average rate is USD 0.6956/ SGD and historical rate is USD 0.6684/SDG

Particulars	US Business (In USD)	Singapore Business (in SGD)
Sales	1,900	200
Cost of goods sold	800	50
Gross Profit	1,100	150
Operating Expenses	600	100
EBIT	500	50
Interest Expenses	200	70
EBT	300	20

A. Show how the costs, revenue and earnings items would be affected by three possible exchange rate scenarios for Singaporean Dollar USD 0.7059, USD 0.6945 & USD 0.6864. Ascertain whether there is accounting gain or loss using current rate method? (PLEASE make it carefully)

B. Prepare a consolidated Income Statement for GR Inc Company by using Temporal and monetary & non- monetary method. (PLEASE make it carefully)