A USCompany's Foreign Subsidiary Had the Following Amounts in Stickles (§),The

question 74

Multiple Choice

A U.S.company's foreign subsidiary had the following amounts in stickles (§) ,the functional currency,in 2011: $\begin{array} { l r } \text { Cost of goods sold } & \$ 12,000,000 \\\text { Ending inventory } & 600,000 \\\text { Beginning inventory } & 240,000\end{array}$ The average exchange rate during 2011 was §1 = $.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 = $.90.The exchange rate at December 31,2011 was §1 = $.84.At what amount should the foreign subsidiary's cost of goods sold have been reflected in the 2011 U.S.dollar income statement?

• A)$11,253,600.
• B)$11,577,600.
• C)$11,520,000.
• D)$11,613,600.
• E)$11,523,600.

---

Definitions:

Criticized

The act of expressing disapproval of someone or something based on perceived faults or mistakes.

Preconscious

A part of the mind containing thoughts and feelings that are not currently in consciousness but can easily be brought to consciousness.

Unsettling Thoughts

Thoughts that cause unease, discomfort, or anxiety, often reflective of internal conflicts or external stressors.

Conscious Awareness

The state or quality of being aware of an external object or something within oneself, marked by mental focus and self-awareness.