User Account

All Pages

What is the amount of the translation adjustment

Assignment Help Accounting Basics
Reference no: EM133075344

Question - On January 1, 2017, DODGE Co. acquired 100% of the common shares of MAZDA Inc. for 2,000,000 foreign currency units (FC). At that time, the net book value and fair value of MAZDA's customer lists were zero and FC100,000, respectively. The customer lists had an estimated useful life of 5 years. DODGE did not own any customer lists. Exchange rates were as follows:

Date

Exchange Rate

January 1, 2017

FC1 = $2.20

December 31, 2017

FC1 = $2.28

Average for year

FC1 = $2.22

Assuming that MAZDA is a foreign operation (self-sustaining subsidiary), what is the amount of the translation adjustment relating to the customer lists that will be reported in DODGE's consolidated financial statements for the year ended December 31, 2017?

Reference no: EM133075344

Questions Cloud

How much is the total assets as of December : Total consideration from share issuances amounted to 4,000,000. How much is the total assets as of December 31, 2021
Stage of the management plan : Create a management plan containing eight to ten stages for the proper design of such a system and Explain each stage of the management plan and justify
Does the put-call parity hold : Consider a European call option and a European put option. Both are on the same stock, both have a strike price of $130 and an expiration date in 9 months.
Explain substantiated recommendations : You are the President and CEO of a large North American manufacturer of automobiles with the capacity to produce vehicles that use gasoline or electricity or bo
What is the amount of the translation adjustment : Assuming that MAZDA is a foreign operation (self-sustaining subsidiary), what is the amount of the translation adjustment relating to the customer lists
Definition of a special purpose acquisition company : Provide a definition of a special purpose acquisition company (SPAC) with an overview of the IPO market in the past year. Relate specifically to the IPO process
Implications for increasing the saving rate : 'Other Lending Institutions' such as saving institutions in the US are/were developed mainly to provide mortgages to households to help fulfil part of 'The Amer
Situation-market-suggest a specific trade : An equity portfolio manager (PM) has a concentrated portfolio. The portfolio consists of 1,000 shares of Tesla (TSLA) and 1,000 share of Walmart (WMT). The PM w
Develop a timeline : Describe the event, and explain how you corroborated or verified the event - You need to develop a timeline as per the below template

Reviews

Write a Review

Accounting Basics Questions & Answers

  Discuss the use of unit cost in decision making

How would your answer to requirement 2 differ if Gayle's Glassworks made and sold 10,000 flanges this period? Why?

  Find the fixed manufacturing overhead cost

Finch Company makes 40,000 units per year of a part it uses. Find the fixed manufacturing overhead cost would be applied to the company's remaining products.

  What volume must be reached in number of lobster rolls

Mr. Mobile would like an after-tax net income of $65,000 at a tax rate of 30%. What volume reached in number of lobster rolls in order to obtain desired income?

  What amount should be reported as cash

Problem - Bank Reconciliation and Entries. If a balance sheet were prepared for Remedy Medical Co. on April 30, 2014, what amount should be reported as cash

  What was the overapplied or underapplied overhead

Actual manufacturing overhead costs incurred during the year totaled $265,500. What was the overapplied or underapplied overhead for the year

  What are the two most common types of annuity

What an annuity is and what are the two most common types of annuity. Explain how the present value and future value of an annuity is determined.

  All five of the basic things that scripture

MacArthur states that if you are doing all five of the basic things that scripture says is God's will you can do whatever you want. MacArthur summarizes Gods will by stating that it is "God's will that you be saved, Spirit-filled, sanctified, sub..

  What is the effect on Xiang net employment income

What is the effect on Xiang's net employment income, that is, calculate the taxable benefit that would be added to Xiangs net employment income for tax purposes

  Describe the process of arbitrage

Question - Describe the process of arbitrage from levered to unlevered firm. Explain the process with the help of a numerical example

  Calculate the Fringe Benefits Tax Liability for Perisher

Perisher Pty Ltd (Perisher) is a Ski equipment manufacturer that operates around Mt Hotham in Victoria. Calculate the Fringe Benefits Tax Liability for Perisher

  What was currys initial basis in the partnership interest

Jones and Curry formed Major Partnership as equal partners by contributing the assets below. What was Curry's initial basis in the partnership interest?

  Explain the meaning and importance of economic substance

Create a PowerPoint presentation for a seminar aimed at future business owners. Explain the meaning and importance of economic substance and how it relates to the financial statements.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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