The assets listed below of a foreign subsidiary have been converted to U.S.dollars at both current and historical exchange rates.Assuming that the local currency of the foreign subsidiary is the functional currency,what total amount should appear for these assets on the U.S.company's consolidated balance sheet?
A)$636,000
B)$648,000
C)$708,000
D)$960,000

Question

Quizplus · Accepted Answer

When the local currency is the functional currency, assets are translated at the current exchange rate. The total amount should be $636,000, which is the amount converted at the current exchange rate.

The Assets Listed Below of a Foreign Subsidiary Have Been