The net assets of a foreign operation at 30 June 2015 are constituted as assets of US$400 000 and liabilities of US$250 000. The parent entity purchased the foreign subsidiary on 1 July 2012. Exchange rate information is as follows:The foreign operation has not traded during the year ended 30 June 2015, so the net assets remained unchanged during the period. What is the parent entity's foreign currency exposure for the year ended 30 June 2015?Select one:a. foreign exchange loss A$6002b. foreign exchange gain A$20 610c. foreign exchange gain A$342 310d. foreign exchange gain A$197 185
The net assets of a foreign operation at 30 June 2015 are constituted as assets of US$400 000 and liabilities of US$250 000. The parent entity purchased the foreign subsidiary on 1 July 2012. Exchange rate information is as follows:The foreign operation has not traded during the year ended 30 June 2015, so the net assets remained unchanged during the period. What is the parent entity's foreign currency exposure for the year ended 30 June 2015?Select one:a. foreign exchange loss A$6002b. foreign exchange gain A$20 610c. foreign exchange gain A$342 310d. foreign exchange gain A$197 185
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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The net assets of a foreign operation at 30 June 2015 are constituted as assets of US$400 000 and liabilities of US$250 000. The parent entity purchased the foreign subsidiary on 1 July 2012. Exchange rate information is as follows:The foreign operation has not traded during the year ended 30 June 2015, so the net assets remained unchanged during the period. What is the parent entity's foreign currency exposure for the year ended 30 June 2015?Select one:a. foreign exchange loss A$6002b. foreign exchange gain A$20 610c. foreign exchange gain A$342 310d. foreign exchange gain A$197 185
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