1-Cassowary Corporations balance sheet at December 31, 2016 included a $20,400 account receivable from Quail Corporation of Australia. The account receivable is denominated as 30,000 Australian dollars (A$). Assuming no entries have been made since 12/31/2016, what single entry should Cassowary make on January 16, 2017 when the account receivable is collected and the exchange rate for A$ is $.67?

Select one:

a.

Cash (fc)	20,100
Accounts Receivable (fc)		20,100

b.

Cash (fc)	20,100
Exchange Loss	300
Accounts Receivable (fc)		20,400

c.

Cash (fc)	20,400
Accounts Receivable (fc)		20,400

d.

Cash (fc)	20,700
Accounts Receivable (fc)		20,400
Exchange Gain		300

2-The exchange rates between the Australian dollar and the US dollar were as follows:

Jun 1 1$AUS = $.71US

Jul 1 1$AUS = $.73US

Aug 1 1$AUS = $.79US

Sep 1 1$AUS = $.83US

This chart shows a:

Select one:

a.Strengthening Australian Dollar which makes it less expensive for Americans to buy Australian goods.

b.Weakening Australian dollar which makes it less expensive for Americans to buy Australian goods.

c.Strengthening Australian dollar which makes it more expensive for Americans to buy Australian goods.

d.Weakening Australian dollar which makes it more expensive for Americans to buy Australian goods.

3- A US importer that purchased merchandise from a South Korean firm would be exposed to a net exchange gain on the unpaid balance if the:

Select one:

a.Dollar weakened relative to the Korean won and the won was the denominated currency.

b.Dollar weakened relative to the Korean won and the dollar was the denominated currency.

c.Dollar strengthened relative to the Korean won and the won was the denominated currency.

d.Dollar strengthened relative to the Korean won and the dollar was the denominated currency.