Question: Need help please. I am not sure what to do for this question. Thank you in advance for your help. Translated and Remeasured Retained Earnings
Need help please. I am not sure what to do for this question. Thank you in advance for your help.


Translated and Remeasured Retained Earnings Superbuy, located in Germany, is a subsidiary of Plentistores, a U.S. retail company. Superbuy reports the following financial results for 2020: Sales.... 100,000,000 Cost of sales. .. Operating expenses Dividends .... 75,000,000 20,000,000 1,000,000 Additional information for 2020 Beginning retained earnings, remeasured Beginning retained earnings, translated.. Beginning net monetary liabilities. .. Beginning net assets .... Beginning inventory balance Ending inventory balance. . $ 15,000,000 $20,000,000 (50,000,000) 85,000,000 2,000,000 3,500,000 Operating expenses include 8,000,000 in depreciation and amortization on assets acquired when the exchange rate was $1.40/E Dividends were declared when the exchange rate was $1.18/ Sales and inventory purchases were made evenly throughout the year The beginning inventory was purchased when the exchange rate was $1.25/, and the ending inven tory was purchased when the exchange rate was $117/. Exchange rates ($/): Beginning of 2020 Average for 2020 End of 2020... $1.25 1.20 1.17 Required a. Assume the functional currency of Superbuy is the euro. Calculate the subsidiary's translated ending retained earnings, in U.S. dollars. b. Assume the functional currency of Superbuy is the U.S. dollar. Calculate the subsidiary's remea sured ending retained earnings, in U.S. dollars
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