A Sale of Goods,denominated in a Currency Other Than the Entity's

question 19

Multiple Choice

A sale of goods,denominated in a currency other than the entity's functional currency,resulted in a receivable that was fixed in terms of the amount of foreign currency that would be received.Exchange rates between the functional currency and the currency in which the transaction was denominated changed.The resulting gain should be include as a an)

• A)Other comprehensive income
• B)Deferred credit
• C)Component of income from continuing operations
• D)Extraordinary item

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Definitions:

Defective Parts

Refers to the components or items that do not meet the quality standards or specifications and are unfit for use.

Production Process

The series of steps involved in the creation of a product, from raw materials to the final product.

Probability

A measure of the likelihood that a particular event will occur, expressed as a number between 0 and 1.

Standard Deviation

A metric that assesses the extent of spread or distribution of a dataset from its average value.