REQUIRED: CONVERT THE FINANCIAL STATEMENTS INTO DOLLARS WHEN THE DOLLAR IS THE FUNCTIONAL CURRENCY

Problem & Detail:

On January 2nd 2014, American Company established a German Subsidiary (Auf Wiedershen) by acquiring 110000 shares of stock. Relevant information is as follows:

- January 2nd 2014 when German stock issued: 1 euro = $1

- January 1st 2016 Auf Wiedershen purchased a 20 year piece of equipment for 80,000 euros; on January 1st 2016 the euro was worth $1.08

- January 2nd 2019 Auf Wiedershen purchased land for 160,000 euros when the euro was worth $1.05

- December 31st 2019 Auf Wiedershen's retained earnings was $425,000

- 2020 average exchange rate: 1 euro = $1.11

- 2020 spot rate 12/31/2020 1 euro = $1.07

- September 15th Auf Wiedershen declares and pays a 50,000 euro dividend when the euro is worth $1.12

Financial Statements of Auf Wiedershen

Income statement
Followig GAAP but in euros
Revenue	450000
salary expense	200,000
depreciation equipment	4000
income	246,000
Balance Sheet
cash	200000		accounts payable	250000
accounts receivable	300000
equipment	80000		common stock	110000
a/d equipment	-20000		retained earnings	360000
land	160000
total assets	720000