This is a problem from advance accounting

On January 1, 2008, Trenten Systems, a U.S.-based company, purchased a controlling interest in Grant Management Consultants located in Zurich, Switzerland. The acquisition was treated as a purchase transaction. The 2008 financial statements stated in Swiss francs are given below.

On January 1, 2008, Trenten Systems, a U.S.-based company, purchased a controlling interest in Grant Management Consultants located in Zurich, Switzerland. The acquisition was treated as a purchase transaction. The 2008 financial statements stated in Swiss francs are given below. GRANT MANAGEMENT CONSULTANTS Comparative Balance Sheets January 1 and December 31, 2008 Jan. 1 20,000 40,000 60,000 30,000 20,000 10,000 60,000 Cash and Receivables Net Property, Plant, and Equipment Totals Accounts and Notes Payable Common Stock Retained Earnings Totals GRANT MANAGEMENT CONSULTANTS Consolidated Income and Retained Earnings Statement for the Year Ended December 31, 2008 Revenues Operating Expenses including Depreciation of 3,000 francs Net Income Dividends Declared and Paid Increase in Retained Earnings 75,000 30,000 45,000 15,000 30,000 Direct exchange rates for Swiss franc are: Dollars per Franc 1-Jan-08 31-Dec-08 Average for 2008 Dividend declaration and payment date 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. $0.5987 0.5321 0.5654 0.581 Dec31 55,000 37,000 92,000 32,000 20,000 40,000 92,000