The Following Table Summarizes the Facts of Five Independent Cases

question 95

Essay

The following table summarizes the facts of five independent cases (labeled a through e) of American companies engaging in credit transactions with foreign corporations while the foreign exchange rate is fluctuating:

Instructions
After evaluating the information about each case, fill the blank space that has been left in one of the four columns denoted by a yellow color. The content of each column and the word or words that you should enter in the blank spaces are described below:
Column 1 indicates the type of credit transaction in which the American company engaged with the foreign corporations. The answer entered in this column should be either "Sales" or "Purchases."
Column 2 indicates the currency in which the invoice price is stated. The answer may be either "U.S. dollars" or "Foreign currency."
Column 3 indicates the direction in which the foreign currency exchange rate has moved between the date of the credit transaction and the date of settlement. The answer in this column may be either "Rising" or "Falling."
Column 4 indicates the effect of the exchange rate fluctuation upon the income of the American company. The answers entered in this column are to be selected from the following: "Gain," "Loss," or "No effect."

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Definitions:

Anti-A Antibodies

Proteins in the blood that specifically target and bind to antigens with the A blood group, leading to blood cell agglutination.

Transfusion Reaction

An adverse immune response that occurs when the recipient's immune system attacks transfused blood products that are not compatible.

Anti-B Antibodies

Immunoglobulins present in the plasma of individuals with blood type A, which act against B antigens on red blood cells.

RhoGam Injections

A treatment given to Rh-negative mothers to prevent the development of Rh antibodies during pregnancy with an Rh-positive baby, thereby avoiding hemolytic disease of the newborn.