On January Maddox Corporation, headquartered in the US established a whollyowned subsidiary in Mexico City. An initial investment of Ps was made on that date; the exchange rate was $peso During the following cash transactions occurred at the Mexico City subsidiary. All amounts are in Mexican pesos Ps

Facilities costs January ; year life Ps

Purchase of office equipment April ; year life

Sales

Merchandise purchases

Operating expenses

The exchange rate was $Ps in April when the office equipment and Ps of merchandise were purchased. Sales, other merchandise purchases, and operating expenses were assumed to have been made or incurred at an average exchange rate of $Ps At yearend, the exchange rate was $Ps and the ending inventory FIFO amounted to Ps purchased when the exchange rate was $Ps All depreciation and amortization is straightline.

Required

a Prepare the preclosing trial balance for the Mexico City subsidiary as of December in US dollars, the subsidiarys functional currency.

Use negative signs with your Cr credit balance answers, in the P DrCr and $ DrCr columns only.

Enter answers using all zeros do not abbreviate answers to millions or thousands

b Now assume the subsidiarys functional currency is the peso. Prepare the subsidiarys December  preclosing trial balance, in US dollars.