Suppose the English subsidiary of a U.S.firm had current assets of £1 million,fixed assets of £2 million and current liabilities of 1 million pounds both at the start and at the end of the year.There are no long-term liabilities.If the pound depreciated during that year from $1.50 to $1.30,the translation gain loss to be included in the parent company's equity account according to FASB #52 is
A)0 since the current assets and current liabilities cancel
B)+$200,000
C)-$250,000
D)-$400,000

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The Answer of Suppose the English subsidiary of a U.S.firm had current assets of £1 million,fixed assets of £2 million and current liabilities of 1 million pounds both at the start and at the end of the year.There are no long-term liabilities.If the pound depreciated during that year from $1.50 to $1.30,the translation gain loss to be included in the parent company's equity account according to FASB #52 is
A)0 since the current assets and current liabilities cancel
B)+$200,000
C)-$250,000
D)-$400,000

Suppose the English Subsidiary of a U