If a Sale on Account by a U

question 21

Multiple Choice

If a sale on account by a U.S.company is made with a foreign company,and the U.S.company has no foreign currency risk,then

• A)the U.S.company has measured the transaction in U.S.dollars.
• B)the U.S.company has denominated the transaction in U.S.dollars.
• C)the foreign company has measured the transaction in their own currency.
• D)the foreign company has denominated the transaction in their own currency.

---

Definitions:

Commercial Unit

A standard of goods or products that are considered as a single whole for purposes of sale and division, often relevant in transactions and legal contracts.

Bales of Hay

Bundles of hay that have been tightly bound with twine or wire and are used for feeding livestock or as agricultural mulch.

Accepted

Recognized as true or valid; in the context of contracts, to agree to the terms of an offer.

Perishable Goods

Items, especially foodstuffs, that are subject to spoilage and decay in a short period of time if not properly cared for.