REFERENCE: Ref.09_03 Car Corp.(a U.S.-Based Company)sold Parts to a Korean Customer on Customer

question 42

Multiple Choice

REFERENCE: Ref.09_03
Car Corp.(a U.S.-based company) sold parts to a Korean customer on December 16,2008,with payment of 10 million Korean won to be received on January 15,2009.The following exchange rates applied:
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-A company has a discount on a forward contract for an asset.How is the discount recognized over the life of the contract?

• A)It is charged to a deferred credit.
• B)It is charged to a deferred asset.
• C)It is charged to accumulated other comprehensive income.
• D)It increases sales.
• E)It decreases sales.

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Definitions:

Sexual Harassment

Inappropriate sexual overtures, pleas for sexual privileges, and further sexual natured verbal or physical pestering.

Supportive Work Environment

An organizational climate that fosters respect, encouragement, and assistance among employees, promoting overall satisfaction and productivity.

Self-Disclosure

The act of revealing personal information to others which they may not otherwise learn.

Communication

The exchange of information or ideas between individuals or groups, using verbal, non-verbal, written, or electronic means.