Compte, Incorporated $($a U$.$S$.-$based company$),$ establishes a subsidiary in Croatia on January $1,2023.$ The following account balances for the year ending December $31,2024,$ are stated in kuna $($K$),$ the local currency:SalesK $390,000$Inventory $($bought on $3/1/24)214,500$Equipment $($bought on $1/1/23)98,000$Rent expense$26,000$Dividends $($declared on $10/1/24)32,000$Notes receivable $($to be collected in $2027)55,000$Accumulated depreciation$$equipment$29,400$Salary payable$8,800$Depreciation expense$9,800$The following U$.$S$.$ dollar per kuna exchange rates are applicable:January $1,2023$$ $0\mathrm{.}38$Average for $20230\mathrm{.}43$January $1,20240\mathrm{.}44$March $1,20240\mathrm{.}46$October $1,20240\mathrm{.}47$December $31,20240\mathrm{.}39$Average for $20240\mathrm{.}45$Compte is preparing account balances to produce consolidated financial statements. Compte, Incorporated $($a U$.$S$.-$based company$),$ establishes a subsidiary in Croatia on January $1,2023.$ The following account balances for the year ending December $31,2024,$ are stated in kuna $($K$),$ the local currency:

The following U$.$S$.$ dollar per kuna exchange rates are applicable:

Compte is preparing account balances to produce consolidated financial statements.

Required:

a$.$ Assuming that the kuna is the functional currency, what exchange rate would be used to report each of these accounts in U$.$S$.$ dollar consolidated financial statements?

b$.$ Assuming that the U$.$S$.$ dollar is the functional currency, what exchange rate would be used to report each of these accounts in U$.$S$.$ dollar consolidated financial statements?

Note: For all requirements, round your answers to $\backslash (\backslash$mathbf$\{2\}\backslash )$ decimal places. $\backslash$begin$\{$tabular$\}\{|$l$|$l$|\}$

$\backslash$hline $\backslash$multicolumn$\{1\}\{|$c$|\}\{$ Account $\}$ & Exchange Rate $\backslash \backslash$

$\backslash$hline a$.$ Sales & $\backslash \backslash$

$\backslash$hline a$.$ Inventory & $\backslash \backslash$

$\backslash$hline a$.$ Equipment & $\backslash \backslash$

$\backslash$hline a$.$ Rent expense & $\backslash \backslash$

$\backslash$hline a$.$ Dividends & $\backslash \backslash$

$\backslash$hline a$.$ Notes receivable & $\backslash \backslash$

$\backslash$hline a$.$ Accumulated depreciation$-$equipment & $\backslash \backslash$

$\backslash$hline a$.$ Salary payable & $\backslash \backslash$

$\backslash$hline a$.$ Depreciation expense & $\backslash \backslash$

$\backslash$hline b$.$ Sales & $\backslash \backslash$

$\backslash$hline b$.$ Inventory & $\backslash \backslash$

$\backslash$hline b$.$ Equipment & $\backslash \backslash$

$\backslash$hline b$.$ Rent expense & $\backslash \backslash$

$\backslash$hline b$.$ Dividends & $\backslash \backslash$

$\backslash$hline b$.$ Notes receivable & $\backslash \backslash$

$\backslash$hline b$.$ Accumulated depreciation$--$equipment & $\backslash \backslash$

$\backslash$hline b$.$ Salary payable & $\backslash \backslash$

$\backslash$hline b$.$ Depreciation expense & $\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$