All of the following statements are stated in Brazil reals (R$). Bralta Ltd. Statement of Financial Position June 30, 20X5 Cash Accounts receivable Inventories Machinery (net) Land and building (net) Additional information: Selected exchange rates: June 30, 20X4 June 30, 20X5 Average for 20X5 60,000 740,000 300,000 850,000 1.800.000 3.750.000 R$1=$0.5906 R$1$0.5623 R$1=$0.5744 Current liabilities Bonds payable Common shares Retained earnings Date of purchase of inventory on hand at year-end RS1-5.5688. Dividends were declared on June 30, 20X5 Opening inventory = R$130,000 Inventory purchases for the year R$1,570,000 Machinery, land, and buildings were purchased on June 30, 20X4 500,000 2,000,000 2,500,000 1,000,000 250.000 3.750.000 Bralta is the Brazilian subsidiary of Altapro Co., a Canadian company. Under the current-rate method, what is the balance of the total assets?

All of the following statements are stated in Brazil reals (R$). Bralta Ltd. Statement of Financial Position June 30, 20X5 Cash Accounts receivable Inventories Machinery (net) Land and building (net) Additional information: Selected exchange rates: June 30, 20X4 June 30, 20X5 Average for 20X5 60,000 740,000 300,000 850,000 1.800.000 3.750.000 R$1=$0.5906 R$1$0.5623 R$1=$0.5744 Current liabilities Bonds payable Common shares Retained earnings Date of purchase of inventory on hand at year-end RS1-5.5688. Dividends were declared on June 30, 20X5 Opening inventory = R$130,000 Inventory purchases for the year R$1,570,000 Machinery, land, and buildings were purchased on June 30, 20X4 500,000 2,000,000 2,500,000 1,000,000 250.000 3.750.000 Bralta is the Brazilian subsidiary of Altapro Co., a Canadian company. Under the current-rate method, what is the balance of the total assets?

International Financial Management

14th Edition

ISBN:9780357130698

Author:Madura

Publisher:Madura

Chapter10: Measuring Exposure To Exchange Rate Fluctuations

Section: Chapter Questions

Problem 1IEE

See similar textbooks

Similar questions

Question 1 Refer to the data in the table below. CURRENCY EUR-USD USD-JPY GBP-USD AUD-USD USD-CAD USD-CHF EUR-JPY EUR-GBP USD-HKD EUR-CHF USD-KRW Source: Bloomberg.com a. b. C. VALUE 1.0661 134.3400 11964 0.6868 1.3469 0.9274 143.2200 0.8911 7.8480 0.9887 1,293.8000 If you want to buy 10,000 EUR, how much USD do you have to pay? If you have 200 GBP, how much EUR can you exchange? If you need 200,000 JPY, how much HKD do you have to pay?
Could you please separate the cash inflows and outflows? Cash flows from operating activities 2021 2020 2019 Net income (loss) $ 360,060 $ (549,177) $ 92,139 Adjustments to reconcile net income (loss) to net cash used in operating activities Depreciation and amortization 141,144 164,984 186,425 Unrealized foreign currency exchange rate gain (loss) 18,877 (9,295) (2,073) Loss on extinguishment of senior convertible notes 58,526 0 0 Loss on disposal of property and equipment 4,468 3,740 4,640 Gain on sale of the MyFitnessPal platform 0 (179,318) 0 Non-cash restructuring and impairment charges 26,938 470,543 39,000 Amortization of bond premium 16,891 12,070 254 Stock-based compensation 43,794 42,070 49,618 Deferred income taxes (2,642) 43,992 38,132 Changes in reserves and allowances (25,766) 10,347 (26,096) Changes in operating assets and liabilities: Accounts receivable (31,153) 167,614 (45,450) Inventories 93,287 15,306 149,519 Prepaid…
For the below questions use these rates that your bank has quoted you: EUR/USD: 1.0175 – 1.0180 GBP/USD: 1.2065 – 1.2070 USD/CAD: 1.2930 – 1.2935 USD/JPY: 134.85 – 134.90 AUD/USD: .6905 - .6910 Calculate the following crosses: EUR/GBP EUR/JPY AUD/JPY GBP/CAD GBP/JPY CAD/JPY
From the following data provided, ascertain what would be the exchange rates that the Bank would quote for an FDI transaction amounting to USD 2 Mn for value cash basis, assuming a margin of 3 paise where., Spot USD/INR = 75.0900/75.1000 ., Cash/Spot : 4/5 paise. Arrive at the exchange rate up to 4 decimal places. Adhere to the steps involved in calculation.
I. A. Prepare all entries on the Phil. firm’s books to record the above transactions B. Determine the following: Foreign exchange gain or loss on:i. December 1, 20x4ii. December 31, 20x4iii. March 1, 20x5 On December 31, 20x4:i. Accounts payableii. Inventory Part 2 REQUIRED: Translate (translation working paper) the financial statements of GoldCorporation into the presentation currency which is Philippine peso.
The following table shows the net cash flow for each currency for Cleveland Co. Total Inflow Total Outflow Net Inflow or Net Inflow or Outflow, In Outflow (Millions) Expected Exchange Rate Dollars (Millions) Currency Euro (Millions)(Millions) 30 euros Canadian Dollar $C30 15 euros 15 euros $C20 C$10 Suppose that the euro and the Canadian dollar are both highly correlated. $1.20 18.00 $0.90 $9.00 All else equal, this positive correlation means that the MNC is likely subject to a degree of transaction exposure.
These are currency quotes found on a foreign market: GH 4.30/$, and GH 4.55/$. ii. Which currency is depreciating in value?
Help me understand how to interpret the following currency pairs(in a much simplified way) a)€1/$1.1837 €1/£0.7230 £1/$1.6388 b)Spot rate $1/Kes 76.22-92
Use the following chart to answer the next two questions. 2/17 2/18 2/19 £.8/S $1.30/£ £9/S ¥125/S ¥122/S S.007/N €1.1/S €/S.85 $.95/E What is the percentage appreciation/depreciation of the Euro from the US point of view from 2/17 to 2/18? Round intermediate steps and your final answer to four decimals. Express your answer in decimal format (ex. XXXX)
For the following practice questions use these rates that your bank has quoted you: EUR/USD: 1.0175 – 1.0180 GBP/USD: 1.2065 – 1.2070 USD/CAD: 1.2930 – 1.2935 USD/JPY: 134.85 – 134.90 AUD/USD: .6905 - .6910 Please calculate the following crosses: EUR/GBP: 0.843 - 0.844 EUR/JPY: 137.210 - 137.328 AUD/JPY: 93.114 - 93.216 GBP/CAD GBP/JPY CAD/JPY
ok -nces The following are the foreign currency positions of an H, expressed in the foreign currency: Assets Liabilities FX Bought FX Sold Sf 127,500 Sf 51,000 Sf 10, 200 Sf 15,300 £ 38,168 £ 16,794 £ 11,450 £. 15,267 ¥7,869,885 ¥3, 147,954 ¥1, 259, 181 ¥9, 233,998 Currency Swiss franc (Sf) British pound (£) Japanese yen (V) The exchange rate of dollars for Sf is 1.02, of dollars for British pound is 1.31, and of dollars for yen is 0.00953. The following are the foreign currency positions converted to dollars: Currency Swiss franc (Sf) British pound (£) Japanese yen (¥) Assets $125,000 $ 50,000 $ 75,000 Liabilities EX Bought. $50,000 $22,001 $30,000 $10,000 $15,000 $12,000 FX Sold $15,000 $20,000 $88,000 a. What is the FI's net exposure in Swiss francs stated in Swiss francs (Sf) and in dollars ($)? b. What is the FI's net exposure in British pounds stated in British pounds (£) and in dollars. ($)? c. What is the FI's net exposure in Japanese yen stated in Japanese yen (*) and in…
Ganado Europe (C). Using facts in the chapter for Ganado Europe, assume the exchange rate on January 2, 2016, in Exhibit 11.5 appreciated from $1.2900/€ to $1.5800/€. Calculate Ganado Europe's translated balance sheet for January 2, 2016, with the new exchange rate using the current rate method as shown in the popup window, a. What is the amount of translation gain or loss? b. Where should it appear in the financial statements? Data table a. What is the amount of translation gain or loss? Enter a positive number for a gain and negative for a loss. (Round to the nearest dollar.) (Click on the following icon in order to copy its contents into a spreadsheet.) EXHIBIT 11.5 Ganado Europe's Translation Loss After Depreciation of the Euro: Current Rate Method Assets Cash In Euros (€) (US$/euro) December 31, 2015 Exchange Rate Translated Accounts (US$) January 2, 2016 Exchange Rate (US$/euro) Translated Accounts (US$) 1,500,000 1.2900 $1,935,000 1.5800 $2,370,000 Accounts receivable Inventory…