Assignment 10 Saved Help Save & Exit Submit Sendelbach Corporation is a U.S.-based organization with operations throughout the world. One of its subsidiaries Is headquartered in oond though this wholly owned company operates primarily in Canada, it engages in some transaction tough branch in Mexico. Therefore, the subsidiary maintains a ledger denominated in Mexican pesos (Ps) and a general ledger in Canadian dollars (C$). As of December 31, 2020, the subsidiary is preparing financial statements in anticipation of consolidation with the US parent corporation Both ledgers for the subsidiary are as follows: Main Operation-Canada Debit Credit Accounts payable C$ 35, 470 Accumulated depreciation 39,000 Buildings and equipment C$ 179, eee Cash 38,00 Common stock 62,00 Cost of goods sold 215,000 Depreciation expense 8,100 Dividends, 4/1/20 31,000 Gain on sale of equipment, 6/1/20 6,200 Inventory 91,000 81,000 Notes payable-due in 2023 Receivables 80,000 Retained earnings. 1/1/20 147, 590 31,000 6,200 91, eee 81,089 2. 2 80,000 Ulvidenas, 47 1/20 Gain on sale of equipment, 6/1/20 Inventory Notes payable-due in 2023 Receivables Retained angs, 1/1/20 Salary ponse Sales Utility expense Branch operation Totals 147,590 35, eee 324, eee 1e, 2ee 7,960 CS 695,260 C$ 695,260 Ints Books Credit Ps 62,200 37,200 Branch Operation-Mexico Debit Accounts payable Accumulated depreciation Building and equipment Ps 52,00 Cash 65,000 Depreciation expense 3,2ee Inventory (beginning-income statement) 35,000 Inventory (ending-income statement) Inventory (ending-balance sheet) 34,000 34,000 signment 10 Saved Help Save & Exit Submit 65,000 3,200 35,000 34,000 Cash Depreciation expense Inventory (beginning-income statement) Inventory (e Tome statement) Inventory (ending-balance sheet) Purchases Receivables Salary expense Sales Main office Totals 34,000 69,00 33,eee 10,2ee 136, eee 32, eee Ps 301, 4ee Ps 301,400 Additional Information The Canadian subsidiary's functional currency is the Canadian dollar, and Sendelbach's reporting currency is the U.S. dollar. The Canadian and Mexican Sperations are not viewed as separate accounting entities. The building and equipment used in the Mexican operation were acquired in 2010 when the currency exchange rate was C$0.24 = Ps 1 Purchases of inventory were made evenly throughout the fiscal year. Beginning inventory was acquired evenly throughout 2019, ending inventory was acquired evenly throughout 2020 ssignment 10 Saved Help Save & Exit Submit * www.SLALPUR rate was C$0.24 = Ps 1. Purchases of inventory were made evenly throughout the fiscal year. Beginning inventory was acquired evenly throughout 2019; ending inventory was acquired evenly throughout 2020 The Main Office account on the Mexican records should be considered an equity account. This balance was remeasured into C$7.960 on December 31, 2020 Currency exchange rates for 1 Ps applicable to the Mexican operation follow: C$ 0.29 0.31 0.33 0.34 Weighted average, 2019 January 1, 2020 Weighted average rate for 2020 December 31, 2020 ok The December 31, 2019, consolidated balance sheet reported a cumulative translation adjustment with a $48,950 credit (positive) balance The subsidiary's common stock was issued in 2007 when the exchange rate was $0.41 -C$1 . The subsidiary's December 31, 2019, retained earnings balance was C$147,590, an amount that has been translated into US $72 343 Save & Exit Submit ed Assignment 10 Saved Help The December 31, 2019, consolidated balance sheet reported a cumulative translation adjustment with a $48,950 credit the balance The subsidiary's common stock was issued in 2007 when the exchange rate was $0.41 = C$1. . The subsidiary's December 1, 2019, retained earnings balance was $147.590, an amount that has been translated into US $72,343 The applicable currency exchange rates for 10$ for translation purposes are as follows: 2 nts January 1, 2020 April 1, 2020 June 1, 2020 Weighted average rate for 2020 December 31, 2020 US$ 0.7e 0.69 0.68 0.67 2.65 ebook a. Remeasure the Mexican operation's account balances into Canadian dollars. (Note: Back into the beginning net monetary asset or liability position) b. Prepare financial statements (income statement, statement of retained earnings, and balance sheet) for the Canadian subsidiary in its functional currency, Canadian dollars c. Translate the Canadian dollar functional currency financial statements into US dollars so that Sendelbach can Analize Resume - R. Hulu Home Amazon Leadership. Amazon.com Inc S MGMI 3450 4 Help Saved Submit Save & Exit Assignment 10 monetary asset or liability position.) b. Prepare financial stat Some statement, statement of retained earnings, and balance sheet) for the Canadian subsidiary in the functional currency, Canadian dollars. c. Translate the Canadian dollar functional currency financial statements into U.S. dollars so that Sendelbach can prepare consolidated financial statements. Complete this question by entering your answers in the tabs below. look ReqA Req B and C Remeasure the Mexican operation's account balances into Canadian dollars. (Note: Back into the beginning net monetary asset or liability position.) (Input all amountslas positive values.) Canadian Dollars Debit Credit 21.148 B92 Accounts payable Acumulo deciation 2 Gints Accounts payable Accumulated depreciation Building and equipment Cash Depreciation expense Inventory (beginning-Income statement) Inventory (ending-income statement) Inventory (ending-balance sheet) Purchases Receivables Salary expense Sales Main office Romeasurement loss Canadian Dollars Debit Credit 21,148 8,928 12,480 22,100 768 10,150 11,220 11,220 22,770 11,220 3,366 44,880 7,960 62 94.136 94.136 Book (Round U.S. Dollar values to 2 decimal places. Amounts to be deducted and losses should be indicated with a minus sign 2 Show le nts SENDELBACH CORPORATION Financial Statements For the Year Ended December 31, 2020 Canadian U.S. Dollar Dollar Income Statement: Sales Cost of goods sold CS 0 $ 0.00 eBook cs 2 C$ 0 $ 0.00 Statement of Retained Earnings Retained earnings, 1/1/20 cs BOOK cs 0 $ 0.00 Retained earnings, 12/31/20 Balance Sheet: Assets: CS Cash Balance Sheet: Assets: C $ Cash Receivables Inventory Building and equipment Accumulated depreciation $ 0 $ 0.00 bok Total Liabilities and Equities: Accounts payable cs cs 2 cs Balance Sheet: Assets: Cash Receivables Inventory Building and equipment Accumulated depreciation 15 points CS 0 $ 0.00 COS Total Liabilities and Equities: Accounts payable CS