Sunshine Hotels Limited (SHL) extends boarding and lodging facility to the business executives of multinational companies for

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Sunshine Hotels Limited (SHL) extends boarding and lodging facility to the business executives of multinational companies for which it receives payment in the US dollar ($). On January 1, 2011 it raised a bill for $ 30,000 to one of its customers. On this date, the exchange rate for Indian rupee and US $ was ₹ 45.10 per $. It immediately receives a credit of ₹ 13,53,000 (30,000 x 45.10) its account through online payment. Had it extended a credit facility of two months and exchange rate on March 1, 2011 moved down to ₹ 44.90 per $ then what changes would have happened.

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Financial Accounting

ISBN: 9780071078023

1st Edition

Authors: Dhanesh K. Khatri

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