The Following Information Refers to Questions

question 21

Multiple Choice

The following information refers to questions
On July 1,2012 CDN purchased inventory from its main U.S.supplier RNB Enterprises at a cost of $1,000 U.S dollars.CDN's year end is on July 31.
Some important dates regarding this transaction,as well as the exchange rates in effect at each of these dates are shown below:
-At what amount would CDN record its Liability to RNB at the time of purchase?

• A)$820 U.S.
• B)$820 CDN.
• C)$810 CDN.
• D)$805 CDN.

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Definitions:

Problem Solving Strategy

A method or plan of action used to find a solution to a problem or challenge.

Heuristics

Mental shortcuts or rules of thumb that simplify decision making, not guaranteed to be optimal, perfect, logical, or rational, but are sufficient for reaching an immediate goal.

Elimination

The process through which the body removes waste materials, such as urine and feces, from its systems.

Trial And Error

A fundamental method of solving problems characterized by repeated, varied attempts until success or a solution is achieved.