Below You Will Find the Balance Sheet and Income Statement

question 1

Essay

Below you will find the balance sheet and income statement of a US Corp.'s foreign subsidiary at the end of its first year of operations.The following exchange rates were in effect during the period:
Jan.1,2012 - $1 = 1FC
Dec.31,2012 - $1.70 = 1FC
The average exchange rate during the period was $1.40=1FC.The common stock was issued on January 1,2012.
Assuming that the foreign currency is the functional currency translate the financial statements into U.S.dollars.

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Definitions:

Others' Efforts

The contribution and hard work of other people which can impact an individual's motivation and performance.

Group Decision-Making

The process of making choices or solving problems as a group, rather than by an individual.

Social Loafing

The tendency of individuals to exert less effort when working in a group than when working alone.

Groupthink

A tendency toward flawed group decision making when group members are so intent on preserving group harmony that they fail to analyze a problem completely.