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what happens to already recorded capital 700K?
I guess there is a big confusion on translation/remeasurement questions. for instance, in this question, there is no mention about parent-subsidiary relation, on the question this seems a regular buyer/seller or export/import relation between two un-related companies from two different countries. tr. and rem. are two methods of "Conversion of Foreign Financial Statements", not individual buying/selling transactions. but on the explanation it is mentioned about such relation. and the same situation cannot be both translation and remeasurement example. depending on the functional currency of the subsidiary, it is either transation or remeasurement.