Lee Corporation

Exchange Rates Schedule of Adjusted Amounts Based on CAD $100,000 DateExchange Rate Foreign Currency 12/31/20040. 830979 12/31/20050. 857927 2,694. 80 12/31/20060. 858222 29. 50 12/31/20071. 01204 15,381. 80 Necessary Journal Entries to calculate other comprehensive income. Retained Earnings 15,000. 00 Deferred Tax 10,000. 00 Accumulated Depreciation 25,000. 00 Retaind Earnings 21,000. 00 Deferred Taxes 14,000. 00 Inventory 35,000. 00 Investment in Subsidiary 2,694. 80

Cumulative Translation Adjustment 2,694. 80 Investment in Subsidiary 29. 50 Cumulative Translation Adjustment 29. 50 Investment in Subsidiary 15,381. 80 Cumulative Translation Adjustment 15,381. 80 Lee Corporation Statement of Changes in Stockholder’s Equity For the year ended on December 31, 2007 Common StockAdditional Paid-in CapitalTreasury StockRetained EarningsAccumulated Other Comprehensive IncomeTotal Stockholder’s Equity Balance as of January 1, 2007 $500,000. 00 $1,000,000. 0 $(200,000. 00) $225,000. 00 $1,525,000. 00 Prior Period Adjustments: Depreciation Error (Net) $(15,000. 00) $(15,000. 00) Inventory Methods Change (Net) $(21,000. 00) $(21,000. 00) Foreign Currency Translation Adjustment $2,724. 30 $2,724. 30 Net Income $144,000. 00 $144,000. 00 Cash Dividends $(100,000. 00) $(100,000. 00) Foreign Currency Translation Adjustment $15,381. 80 $15,381. 80 $500,000. 00 $1,000,000. 00 $(200,000. 00) $233,000. 00 $18,106. 10 $1,551,106. 10