_____ A foreign subsidiary has provided the following information with respect to its year-end inventories:
The inventory was acquired when the direct exchange rate was $.14. Assuming that the foreign currency is the functional currency, what should be the valuation of the inventory in dollars?
A) $10,000
B) $12,000
C) $13,000
D) $14,000
E) None of the above.

Question

_____ A foreign subsidiary has provided the following information with respect to its year-end inventories:
 The inventory was acquired when the direct exchange rate was $.14. Assuming that the foreign currency is the functional currency, what should be the valuation of the inventory in dollars?
A) $10,000 
B) $12,000 
C) $13,000 
D) $14,000 
E) None of the above.

Quizplus · Accepted Answer

The Answer of _____ A foreign subsidiary has provided the following information with respect to its year-end inventories:
 The inventory was acquired when the direct exchange rate was $.14. Assuming that the foreign currency is the functional currency, what should be the valuation of the inventory in dollars?
A) $10,000 
B) $12,000 
C) $13,000 
D) $14,000 
E) None of the above.

_____ a Foreign Subsidiary Has Provided the Following Information with Respect