Assume That Aero Agrees to Purchase US$50,000 for C$52,000 on January

question 87

Multiple Choice

Assume that Aero agrees to purchase US$50,000 for C$52,000 on January 15,2013.The exchange rate at year end is US$1 = C$0.98 and the January 15,2013 exchange rate is US$1 = C$0.97.What journal entry is required at year end?

• A)$3,000 loss.
• B)$3,000 gain.
• C)$3,500 loss.
• D)$3,500 gain.

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Definitions:

Personality

The combination of characteristics or qualities that form an individual's distinctive character.

Organizational Commitment

Organizational commitment is the loyalty of an individual to the organization.

Emotional Commitment

A deep, affective attachment to an organization or cause that surpasses mere loyalty or intellectual agreement.

Rational Commitment

An individual's logical decision to remain dedicated to an organization based on the benefits and costs associated with that commitment.