1. Which of the following is least likely a condition that requires the use of the temporal method for a U.S. parent that reports results in U.S. dollars?
A. The foreign subsidiary is operating in a highly inflationary economy. B. The functional currency is the local currency. C. The functional currency is some currency other than the local currency or the U.S. dollar. D. None of the above
2. Given the following information on an interest-only mortgage, calculate the monthly mortgage payment. Loan amount: $356,000, Term: 15 years, Interest Rate: 7.5%.
$3,300
$4,200
$350
$2,225