If a USCompany Is Preparing a Journal Entry for a Recent Purchase,foreign-Currency-Denominated

question 25

Multiple Choice

If a U.S.company is preparing a journal entry for a recent purchase,foreign-currency-denominated purchases must be measured in ________ at the purchase date using the foreign currency ________ rate on the purchase date.

• A)foreign currency; spot
• B)foreign currency; future
• C)U.S.dollars; forward
• D)U.S.dollars; spot

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Definitions:

Tech Support Department

A business division focused on providing assistance and advice regarding a company's products or services, especially related to software, hardware, or other technology issues.

Routing Calls

The process of directing phone calls to the correct department or individual within a business or organization.

Customer Cost Analysis

The process of analyzing the costs associated with acquiring, serving, and retaining customers to determine profitability.

Order Fulfillment Department

The division of a company responsible for processing and delivering orders to customers.