January 1, 2014, Roswell Systems, a U.S.-based company, purchased a controlling interest in Bern Management Consultants located in Bern, Switzerland.The acquisition was treated as a purchase transaction.The 2014 financial statements stated in Swiss francs are given below.
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.

Question

January 1, 2014, Roswell Systems, a U.S.-based company, purchased a controlling interest in Bern Management Consultants located in Bern, Switzerland.The acquisition was treated as a purchase transaction.The 2014 financial statements stated in Swiss francs are given below.  
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.

Quizplus · Accepted Answer

The Answer of January 1, 2014, Roswell Systems, a U.S.-based company, purchased a controlling interest in Bern Management Consultants located in Bern, Switzerland.The acquisition was treated as a purchase transaction.The 2014 financial statements stated in Swiss francs are given below.  
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.