1. Norton Co., a U.S. corporation, sold inventory on December 31, 2008, with payment of 10,000 British pounds to be received in sixty days. The pertinent exchange rates were as follows: Dec 1 Spot rate $1.7241 Dec 31 Spot rate $1.8182 Jan 30 Spot rate $1.6666 What amount of foreign exchange gain or loss should be recorded on January 30? a. $1,516 gain b. $1,516 loss c. $575 loss d. $500 loss 2. Pigskin Co., a U.S. corporation, sold inventory on credit to a British company on April 8, 2008. Pigskin received payment of 35,000 pounds on May 8, 2008. The exchange rate was $1 = 0.65 on April 8 and $1 = 0.70 on May 8. What amount of foreign exchange gain or loss should be recognized? (round to the nearest dollar) a. $10,500 loss b. $10,500 gain c. $1,750 loss d. $3,846 loss 3. According to SFAS 52, which method is usually required for translating a foreign subsidiarys financial statements into the parents reporting currency? a. The temporal method b. The current rate method c. The current/non-current method d. The monetary/non-monetary method e. The non-current method