efren ltd is a foreign subsidiary of a canadian parent and is located in the country of matos the sfp accounts of efren are as follows stated in mats m

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Required
1. Translate the SFP accounts of Efren Ltd. into Canadian dollars, using each of the following methods:
a) Current-rate
b) Temporal
In each case, treat the translation gain or loss as a single, balancing figure.
2. For each method, calculate the:
a) Accounting exposure
b) Additional gain or loss that would result if the exchange rate one year hence were $ 1.75, assuming no change in the SFP accounts in mats.

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