please answer both and show work. also indicate which answers belong to each part. makes it easoer to undersrand

EXERCISE 13-4 Foreign Currency Translation-Current Rate Method LO.7 On January 1, 2014, Trenten Systems, a US-based company, purchased a controlling interest in Grant Management Consultants located in Zurich, Switzerland. The acquisition was treated as a purchase transaction. The 2014 financial statements stated in Swiss francs are given below. GRANT MANAGEMENT CONSULTANTS Comparative Balance Sheets January 1 and December 31, 2014 Jan. 1 Dec. 31 Cash and Receivables 20,000 $5,000 Net Property, Plant, and Equipment 40.000 37.000 Totals 60,000 92,000 Accounts and Notes Payable 30,000 32,000 Common Stock 20,000 20,000 10.000 Retained Earnings 40.000 Totals 60,000 92,000 GRANT MANAGEMENT CONSULTANTS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2014 Revenues 75,000 Operating Expenses including Depreciation of 3,000 frames 30,000 QAF GRANT MANAGEMENT CONSULTANTS Consolidated Income and Retained Farnings Statement for the Year Ended December 31, 2014 Revenues 75.000 Operating Expenses including Depreciation of 3,000 francs 30,000 Net Income 45,000 Dividends Declared and Paid 15.000 Increase in Retained Earnings 30,000 Direct exchange rates for Swiss franc are: Dollars per Swiss Franc January 1, 2014 $109 December 31, 2014 1.00 Average for 2014 106 Dividend declaration and payment date kol Required: A Translate the year-end balance sheet and income statement of the foreign subsidiary using the current rate method of translation. 8. Prepare a schedule to verify the translation adjustment. EXERCISE 13-5 Required: A. Translate the year-end balance sheet and income statement of the foreign subsidiary using the current rate method of translation. B. Prepare a schedule to verify the translation adjustment. EXERCISE 13-5 Foreign Currency Remeasurement-Temporal Method LO 8 Use the information provided in Exercise 13-4- Required: A. Convert (remeasure) the financial statements of the foreign subsidiary using the a temporal method of translation. B. Prepare a schedule to verify the translation gain or loss. www