Translate the statements using both the closing rate method and the temporal method. In each case explain how the difference on translation arises.
Widening Horizons Limited, a UK company which owns and rents out properties, established a wholly-owned overseas subsidiary in South Africa, Foreign Venture Limited, on 1 January 2017. Widening Horizons Limited subscribed £100,000 in cash for one million shares of 1 Rand (ZAR1) each. Foreign Venture Limited immediately raised a long-term loan of ZAR500,000 and purchased […]