The following account balances are for the Agee Company as of January 1, 2015, and December 31,

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The following account balances are for the Agee Company as of January 1, 2015, and December 31, 2015. All figures are denominated in kroner (Kr).

The following account balances are for the Agee Company as

Additional Information
• Agee issued additional shares of common stock during the year on April 1, 2015. Common stock at January 1, 2015, was sold at the start of operations in 2004.
• It purchased buildings in 2005 and sold one building with a book value of Kr 1,500 on July 1 of the current year.
• Equipment was acquired on April 1, 2015.
Relevant exchange rates for 1 Kr were as follows:
2004 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2.90
2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2.70
January 1, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.00
April 1, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.10
July 1, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.30
October 1, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.40
December 31, 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.50
Average for 2015 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3.20
a. Assuming the U.S. dollar is the functional currency what is the remeasurement gain or loss for 2015?
b. Assuming the foreign currency is the functional currency what is the translation adjustment for 2015?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...
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Advanced Accounting

ISBN: 978-0077862220

12th edition

Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupnik

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