1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
vichka [17]
3 years ago
11

On March 28, 2020, a U.S. company issues a purchase order to buy merchandise for NZ$100,000. The company will pay the supplier o

n June 28, 2020, so on March 28, the company enters a forward contract to purchase NZ$100,000 on June 28. The company takes delivery of the merchandise on May 2, 2020. On June 28, 2020, the company acquires NZ$100,000 using the forward contract and pays the supplier. The company sells the merchandise later in the year. The company's accounting year ends December 31. When the merchandise is sold by the U.S. company, cost of goods sold is:

Business
1 answer:
nevsk [136]3 years ago
3 0

Answer:

A. $73,000

Explanation:

When a company is protected by a hedge it pays the forward exchange rate of the day it entered into the forward contract when payment date has come.

The Question is incomplete. Below are the missing parts and attached picture with spot rate and forward exchange rate.

Select one:

A. $73,000

B. $72,700

C. $73,200

D. $75,000

You might be interested in
Jody is an agent for Kwik Credit Company (KCC). In the course of Jody's performance for KCC, Jody pays Leo for certain auto main
Serjik [45]

Answer:

D. Reimbursement

Explanation:

A principal may be defined as a company's agent dealing with a contractor. The principal has the duty to reimburse an agent for the amount of money used up while carrying out his/her duty. Reimbursement may be from expenses like cost of travelling, cost of meals, cost of lodging and so on. In other words, if an agent makes authorized spending while doing a job for the principal, the principal has the duty to reimburse the agent for the money spent.

3 0
3 years ago
Read 2 more answers
What is Advertising , according to the American Marketing Association​
Alexus [3.1K]

American Marketing Association recognizes the term advertising as – any paid form of non- personal presentation and promotion of ideas, goods and services by an identified sponsor. ... Advertising is a non-personal form of communication because it uses mass media forms.

5 0
2 years ago
How do you send pictsher to frinds<br>​
BaLLatris [955]
Go to photos, press “select” and then press the picture you want to send then press the button that looks like a box that has an arrow coming out of it. After that, press “messages” and then type in the person that you want to send it to.
3 0
3 years ago
Nicholas bought land from Meredith for $150,000. Nicholas paid $50,000 cash and gave Meredith an 8% note for $100,000. The note
Tom [10]

Answer:

C. Nicholas is not required to recognize gross income, but must reduce his cost basis in the land to $130,000

Explanation:

3 0
3 years ago
why would materials such as iron ore, steel, lumber, and coal be transported via ships from the united states to japan,rather th
BARSIC [14]
Idk so you need to ask somebody else because I’m really dumb and I don’t have the answer for u
7 0
3 years ago
Other questions:
  • Porter co. is analyzing two projects for the future. assume that only one project can be selected. project x project y cost of m
    5·2 answers
  • George is considering an investment that will pay $3,250 a year for eight years, starting one year from today. What is the maxim
    7·1 answer
  • Alexander has found that both commercial and residential real estate buyers respond positively to his marketing communication me
    5·1 answer
  • At Nice Price for the Ice, an ice cream parlor, customers routinely buy a scoop of ice cream for $2.75. If consumers purchase on
    8·1 answer
  • A granary allocates the cost of unprocessed wheat to the production of feed, flour, and starch. For the current period, unproces
    12·1 answer
  • Using the CAPM, compute the cost of equity capital for the lodging division at the target leverage ratio for the division. Expla
    6·1 answer
  • In facility location decision making matching the educational and skill levels of the labor pool to a company's needs is even mo
    15·1 answer
  • Fiscal policy refers to the
    5·1 answer
  • If Compu-Globo established a merit pay program, which of the following would be true?
    14·1 answer
  • What is the definition of REO
    7·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!