Question

Mint Corporation has several transactions with foreign entities. Each ansaction is deno t ed the local currency of the country in which the foreign located on November 2.20 M confectionary items to a foreign company at a price of LCU 23.000 when the direct exchange wa CU-Sto The account has not been seeds of December 2016 when the change the increased to 1LCU-5110 The foreign exchange or loss on Men's records at year-end for the transaction be M e Choice S460 low oooo 387 5460

Answer 1

Since exchange rate has increased, there is exchange gain
Exchange gain = ($1.10 - $1.08) x 23000
= $460

Answer is d. $460 gain