_____ on 12/31/06, Polex's Payable to a Foreign Vendor Was

Short Answer

_____ On 12/31/06, Polex's payable to a foreign vendor was properly reported at $512,000 in its balance sheet after recording a $12,000 upward adjustment as a result of a change in the exchange rate. On 1/7/07, the settlement required $505,000. Also, Polex owns a foreign subsidiary. For 2006, an adverse result of $50,000 occurred in translation or remeasurement (as appropriate) for this subsidiary. What amount should be reported in the 2006 consolidated income statement under each of the following situations?