Alpha, Inc

question 68

Multiple Choice

Alpha, Inc., a U.S.company, had a receivable from a customer that was denominated in Mexican pesos.On December 31, 2017, this receivable for 75,000 pesos was correctly included in Alpha's balance sheet at $8,000.The receivable was collected on March 2, 2018, when the U.S.equivalent was $6,900.How much foreign exchange gain or loss will Alpha record on the income statement for the year ended December 31, 2018?

• A) $1,100 loss.
• B) $1,100 gain.
• C) $6,900 loss.
• D) $6,900 gain.
• E) $8,000 gain.

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Definitions:

Vroom-Jago Leadership Model

A decision-making framework that helps leaders choose the best course of action based on the situation's specifics and the level of team involvement.

Leader Competence

The array of skills, knowledge, and abilities that is requisite for effective leadership, including decision-making, strategy formulation, and interpersonal communication.

Leader Expertise

The specialized knowledge and skills possessed by a leader, contributing to effective guidance and influence over a group.

High-quality Decision

A decision that is well-informed, carefully considered, and likely to lead to desirable outcomes or the achievement of objectives.