Kingsfield establishes a subsidiary operation in a foreign country on january 1, 2017. the country’s currency is the kumquat (kq). to start this business, kingsfield invests 10,000 kumquats. of this amount, it spends 3,000 kumquats immediately to acquire equipment. later, on april 1, 2017, it also purchases land. all subsidiary operational activities occur at an even rate throughout the year. the u. s. dollar ($) exchange rates for the kumquat for 2017 follow: