Abercrombe Co., a U.S. firm, formed a German company in 20X4 by purchasing the common stock of the newly formed Dolce Inc. The functional currency of Dolce is the euro. During their first three years, Dolce experienced the following activity in retained earnings:
The following exchange rates could be relevant:
Required:
What is the translated December 31, 20X6, balance of the retained earnings for Dolce?

Question

Abercrombe Co., a U.S. firm, formed a German company in 20X4 by purchasing the common stock of the newly formed Dolce Inc. The functional currency of Dolce is the euro. During their first three years, Dolce experienced the following activity in retained earnings:
  The following exchange rates could be relevant:
  Required:
What is the translated December 31, 20X6, balance of the retained earnings for Dolce?

Quizplus · Accepted Answer

The Answer of Abercrombe Co., a U.S. firm, formed a German company in 20X4 by purchasing the common stock of the newly formed Dolce Inc. The functional currency of Dolce is the euro. During their first three years, Dolce experienced the following activity in retained earnings:
  The following exchange rates could be relevant:
  Required:
What is the translated December 31, 20X6, balance of the retained earnings for Dolce?