The French Subsidiary of a Canadian Parent Has the Following

Essay

The French subsidiary of a Canadian parent has the following balance sheet (in euros):
$$\begin{array} { l r l r } \text { Cash } & \text { EUR 200,000 } & \begin{array} { l } \text { Current } \\\text { liabilities }\end{array} & \text { EUR400,000 } \\\text { Receivables } & 300,000 & \text { Long-term debt } & 100,000 \\\text { Inventory } & 400,000 & & \\\text { Net plant \& } & \underline { 500,000 } & \text { Owner's equity } & \underline { 900,000 } \\\text { equipment } & \text { EUR1,400,000 } && \text { EUR1,400,000 }\end{array}$$ The euro increases in value from EUR 1.6/C$ to EUR 1.3/C$.Using the current rate method,what happened to the total value of assets?