A US Company's Foreign Subsidiary Had the Following Amounts in Stickles

question 45

Multiple Choice

A U.S. company's foreign subsidiary had the following amounts in stickles (§) in 2021: The average exchange rate during 2021 was §1 = $0.96. The beginning inventory was acquired when the exchange rate was §1 = $1.20. The ending inventory was acquired when the exchange rate was §1 = $0.90. The exchange rate at December 31, 2021 was §1 = $0.84. Assuming that the foreign country had a highly inflationary economy, at what amount should the foreign subsidiary's cost of goods sold have been reflected in the 2021 U.S. dollar income statement?

• A) $11,253,600.
• B) $11,577,600.
• C) $11,649,600.
• D) $11,613,600.
• E) $11,523,600.

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Georgia Court of Appeals

The intermediate appellate court in Georgia, responsible for reviewing decisions made by lower courts in civil and criminal cases.

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Unlawfully restraining a person against their will within a bounded area, without legal authority, justification, or consent.

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The area of law that deals with civil wrongs, not arising out of contractual obligations, for which the injured party may receive damages or equitable relief.

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To provide something, usually money, in recognition of loss, suffering, or damage experienced by an individual or entity.