What is the amount of the gain or loss

Assignment Help Finance Basics
Reference no: EM131976983

Question: Foreign currency

RadioShack had a subsidiary in Japan named RadioShack Global Sourcing Ltd. Assume the following hypothetical facts:

RadioShack Global Sourcing Ltd. had 100,000,000 yen in its bank account at 12/31/14. The exchange rate at 12/31/14 was 120 yen = $1.

RadioShack Global Sourcing Ltd. had 100,000,000 yen in its bank account at 12/31/15. The exchange rate at 12/31/15 was 110 yen = $1.

When preparing its consolidated financial statements, how much cash in U.S. dollars will RadioShack record for its yen balances at RadioShack Global Sourcing Ltd at 12/31/14 and 12/31/15?

In translating the yen into U.S. dollars in 2015, will RadioShack experience a translation gain or loss? What is the amount of the gain or loss?

If the translation at 12/31/15 produces a translation gain or loss, where will this gain or loss be reflected in RadioShack's 12/31/15 financial statements?

Reference no: EM131976983

Questions Cloud

Find the radius of curvature of mirror : Find the radius of curvature of this mirror. Supplement your solution with a diagram. Specify the type of image, magnification, and image distance.
Emotion regulation strategies : Is the relationship between resistance to change and job satisfaction moderated by the emotion regulation strategies employees use
While you are looking through two polarizing sheets : While you are looking through two polarizing sheets, one of the sheets is slowly rotated by 180 degrees. Which of the following might you see?
Describe some of the variables strategic analysts : Describe some of the variables strategic analysts would monitor and evaluate as part of the natural, societal and task environments that companies operate in.
What is the amount of the gain or loss : In translating the yen into U.S. dollars in 2015, will RadioShack experience a translation gain or loss? What is the amount of the gain or loss?
Write a report to management describing the makeup : These are designed to actively test your understanding and to apply that knowledge to potential real-world situations.
What tax consequences to single on the sale : What tax consequences to Single on the sale? What tax consequences in (a), above, if Single sold the residence for $600,000?
What is the yield to maturity on these bonds : The bonds have a par value of $1,000, a current price of $1,230, and mature in 15 years. What is the yield to maturity on these bonds?
Front of a converging lens whose focal length : A 5.00 cm-tall object is placed 50.0 cm in front of a converging lens whose focal length is 25.0 cm. How tall will the image be

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd