Below is the trial balance of XXX at December 31, 2020 (denominated in Singaporean dollar):

Cash	35,000
Accounts Receivable	50,000
PPE	225,000
Accumulated Depreciation		15,000
Accounts Payable		20,000
Share Capital		100,000
Retained Earnings		50,000
Revenue		315,000
Operating Expenses	185,000
Depreciation Expense	5,000
Total	500,000	500,000

 

Additional information:

• No dividends were declared in 2020
• PPEs were acquired in June 2019
• The subsidiary started operation in March 2019 and the capital stock transactions occurred on that date.
• The translated amount of RE at the beginning of the year is P1,750,000.
• Exchange rate at various dates follow: March 2019 - 34.10; June 2019 - 35.00; December 2019 - 33.50; Average (2019) - 34.10; December 2020 - 33.20; Average (2020) - 34.50

Required:

How much is the translated amount of net income on December 31, 2020?

Answer rating: 100% (QA)

To compute the translated amount of net income on December 31 2020 we need to translate the b... View the full answer