What Amount Should Be Included as a Foreign Exchange Gain

question 95

Multiple Choice

What amount should be included as a foreign exchange gain or loss from the two transactions for 2018?

• A) $ 9,000 loss.
• B) $ 9,000 gain.
• C) $11,000 loss.
• D) $13,000 gain.
• E) $ 14,000 gain.

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Definitions:

Binding Arbitration

An arbitration agreement where the decision made by the arbitration panel is final and legally binding on all parties.

Court

A governmental institution authorized to resolve legal disputes between parties and administer justice in legal cases.

Submission Agreement

A contract in which the parties agree to submit to arbitration to resolve disputes instead of going to court.

Arbitration Initiation

The formal starting process of arbitration, where a dispute is submitted to an impartial third party for a binding decision.