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:

Stress

A state of mental or emotional strain or tension resulting from adverse or demanding circumstances.

Sickness

A state of ill health, disease, or ailment which affects the body or mind.

Clinical Psychology

A branch of psychology focused on diagnosing and treating mental, emotional, and behavioral disorders through therapy and interventions.

Humanistic Psychology

A psychological perspective which emphasizes the study of the whole person and the uniqueness of each individual, often focusing on concepts such as free will, self-efficacy, and self-actualization.