Rolfe Company (a U.S.-based company) has a subsidiary in Nigeria where the local currency unit is the naira (NGN). On December 31, 2016, the subsidiary had the following balance sheet (amounts are in thousands (000's)):
Cash NGN 16,000 Notes payable NGN 20,000
Inventory 10,000 Common stock 20,000
Land 4,000 Retained earnings 10,000
Building 40,000 Accumulated depreciation (20,000 ) NGN 50,000 NGN 50,000
The subsidiary acquired the inventory on August 1, 2016, and the land and building in 2010.