Olin Ltd. is a foreign subsidiary of Rainier Ltd., a Canadian corporation. Rainier translated Olin's financial statements to Canadian dollars using the temporal method, which resulted in a cumulative translation gain of $15,500. How should the $15,500 be treated on Rainier's consolidated financial statements?

a)The $15,500 should be disclosed in the opening consolidated retained earnings.

b)The $15,500 should be reported on the consolidated SCI.

c)The part of the $15,500 that relates to the prior years should be included in the opening consolidated retained earnings and the balance should be reported on the consolidated SCI.

d)The $15,500 should only be disclosed in the notes to the consolidated financial statements.

Answer rating: 100% (QA)

Answer According to the given conditions cThe part of the 15500 that relates to t... View the full answer