Suppose the German Subsidiary of a U

Multiple Choice

Suppose the German subsidiary of a U.S. firm had current assets of DM3 million, fixed assets of DM6 million and current liabilities of DM3 million both at the start and at the end of the year. There are no long?term liabilities. If the DM depreciated during that year from $.48 to $.38, the FASB?52 translation gain (loss. to be included in the parent company's equity account is

A) 0, since the current assets and current liabilities cancel
B) +$300,000
C) -$350,000
D) -$600,000