Assume That MAK Agrees to Purchase US$500,000 for C$550,000 on January

question 74

Multiple Choice

Assume that MAK agrees to purchase US$500,000 for C$550,000 on January 15,2013.The exchange rate at year end is US$1 = C$0.95 and the January 15,2013 exchange rate is US$1 = C$0.97.What journal entry is required at year end?

• A)0
• B)$65,000 loss.
• C)$75,000 gain.
• D)$75,000 loss.

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Definitions:

Propositions

Logical statements that can be either true or false.

Postexperience Advertising Effect

The influence that advertisements have on a consumer's memory, perception, and evaluation of a product or experience after they have encountered it.

Research Project

A structured scientific inquiry that aims to answer a question, test a hypothesis, or evaluate outcomes, often involving systematic collection, analysis, and interpretation of data.

Sweet

Pleasant to taste due to sugar content; can also refer to something pleasing or agreeable in general.