38-Apple Incorporation is a US-based MNC that conducts a part of its business in Oman. The transactions are denominated in Omani Rial. The following details are extracted from the books of Apple incorporation in Oman Sales RO 150,000, Cost of goods sold RO 45,000. The spot exchange rate = OMR 2/USD, The average exchange rate = OMR 3/USD. Translate the above details into reporting currency by using the current rate method and find the translated gross profit/loss from the following options. O a. None of the options O b. Converted gross loss is USD 35,000 O c. Converted gross profit is USD 35,000 O d. Converted gross profit is USD 105,000
38-Apple Incorporation is a US-based MNC that conducts a part of its business in Oman. The transactions are denominated in Omani Rial. The following details are extracted from the books of Apple incorporation in Oman Sales RO 150,000, Cost of goods sold RO 45,000. The spot exchange rate = OMR 2/USD, The average exchange rate = OMR 3/USD. Translate the above details into reporting currency by using the current rate method and find the translated gross profit/loss from the following options. O a. None of the options O b. Converted gross loss is USD 35,000 O c. Converted gross profit is USD 35,000 O d. Converted gross profit is USD 105,000
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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38-Apple Incorporation is a US-based MNC that conducts a part of its business in Oman. The transactions are denominated in Omani Rial. The following details are extracted from the books of Apple incorporation in Oman Sales RO 150,000, Cost of goods sold RO 45,000. The spot exchange rate = OMR 2/USD, The average exchange rate = OMR 3/USD. Translate the above details into reporting currency by using the current rate method and find the translated gross profit/loss from the following options.
O a. None of the options
O b. Converted gross loss is USD 35,000
O c. Converted gross profit is USD 35,000
O d. Converted gross profit is USD 105,000
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