2. U.S. Multinational Corporation’s subsidiary in Bangkok has on its books fixed assets valued at 235000 baht. One-third of assets were acquired two year ago when the exchange rate was THB 37=$1. The other fixed assets were acquired last year when the exchange rate was THB 38= $1. Each layer of fixed assets is being deprecated straight-line with an estimated useful life of 20 year. Relevant exchange rates for the current year are Year-end rate THB 34=$1 Average rate THB 37=$1 Calculate the Thai subsidiary’s depreciation for the current year, assuming the U.S. dollars is the functional currency.
12.
U.S. Multinational Corporation’s subsidiary in Bangkok has on its books fixed assets
valued at 235000 baht. One-third of assets were acquired two year ago when the exchange rate was THB 37=$1. The other fixed assets were acquired last year when the exchange rate was THB 38= $1. Each layer of fixed assets is being deprecated straight-line with an estimated useful life of 20 year. Relevant exchange rates for the current year are
Year-end rate THB 34=$1
Average rate THB 37=$1
Calculate the Thai subsidiary’s
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images