Honesty Company purchased merchandise worth a total of 100,000 foreign currency on April 1, 2022 from its foreign supplier, payable within 30 days. On April 30, 2022, Honesty paid the note. The following information of spot rates is provided (see image below). Answer the following subquestion(s): a. How much is the foreign exchange gain (loss)?
Honesty Company purchased merchandise worth a total of 100,000 foreign currency on April 1, 2022 from its foreign supplier, payable within 30 days. On April 30, 2022, Honesty paid the note. The following information of spot rates is provided (see image below). Answer the following subquestion(s): a. How much is the foreign exchange gain (loss)?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Honesty Company purchased merchandise worth a total of 100,000 foreign currency on April 1, 2022 from its foreign supplier, payable within 30 days. On April 30, 2022, Honesty paid the note. The following information of spot rates is provided (see image below).
Answer the following subquestion(s):
a. How much is the foreign exchange gain (loss)?
_________________
Transcribed Image Text:April 1, 2022
April 30, 2022
Buying
44.03
44.10
Selling
44.15
44.22
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