The famous Spanish company Javier's Class Inc , has a subsidiary in the States. The subsidiary is worth 500,000 € but suddenly the exchange rate moves from 1.1 to 1.2 … How will it affect to the value in the subsiriary's Balance Sheet?

Question

The famous Spanish company  Javier's Class Inc , has a subsidiary in the States. The subsidiary is worth 500,000 € but suddenly the exchange rate moves from 1.1 to 1.2 … How will it affect to the value in the subsiriary's Balance Sheet?

Accepted Answer

Can't tell, I need more info

Answer

It will decrease to 458,333.33 €

Answer

None of the others

Answer

It will increase to 545,454.55 $

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The famous Spanish company Javier's Class Inc , has a subsidiary in the States....

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