Assuming a Forward Contract Was Entered into on December 16

question 54

Multiple Choice

Assuming a forward contract was entered into on December 16, what would be the net impact on Car Corp.'s 2019 income statement related to this transaction?

• A) $ 500 (gain).
• B) $ 500 (loss).
• C) $ 300 (gain).
• D) $ 300 (loss).
• E) $0.

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Definitions:

Kinesthesia

The perception that recognizes the position of the body, the mass it carries, or the motion of the muscles, tendons, and joints.

Vestibular Sense

A sensory system located in the inner ear that is responsible for providing the brain with information about motion, head position, and spatial orientation.

Sensory Experience

The immediate, direct experience or perception obtained through the senses.

Sensation

Sensation is the process by which our sensory receptors and nervous system receive and represent stimulus energies from our environment.