5. Walblue imports a desk from a French manufacturer for sale in its chain of U.S. stores. The cost of a desk to Walblue is 3,700 euros (C). What is the dollar cost of one of these desks if the exchange rate is currently 1.117 euros per U.S. dollar? (round to nearest cent) 9 2 A. $1,117.00. B. $4,132.90. C. $3,312.44 D. $3,700.00. 6. At the current exchange rate of $1.41 per British pound, a one-day pass to Worldwide Theme Park of Florida sells for 45 pounds at travel agencies throughout Great Britain. If the exchange rate increases to $1.70 per pound, what will happen to the price of a one-day pass sold in Great Britain? A. The price will be unchanged. B. The price will fall to 37 pounds. C. The price will increase to 54 pounds D. The price will fall by 12 pounds 7. For a Multi-national company the currency used to report financial results on the financial statements is called: A. Functional Currency B. Presentation Currency C. Foreign Currency D. US Dollar 8. Rochester, Inc. purchased cameras from a Japanese company at a price of 4 million yen. n the purchase date, the exchange rate was $0.0100 per Japanese yen, but when ochester, Inc., paid the liability, the exchange rate was $0.0103 per yen. When this reign account payable was paid, Rochester, Inc., recorded a A. Debit to Inventory of $1,200. B. Loss of $1,200. C. Credit to Accounts Payable of $41,200. D. Gain of $1,200. 9. Tuliptime, Inc. sold American fashions to a Japanese company at a price of 4 million yen. On the sale date, the exchange rate was $0.0100 per Japanese yen, but when Tuliptime received payment from its customer, the exchange rate was $0.0103 per yen. When the foreign receivable was collected, Tuliptime A. Credited Sales for $1,200. B. Debited Cash for $40,000. C. Credited Gain on Fluctuation of Foreign Currency for $1,200. D. Debited Loss on Fluctuation of Foreign Currency for $1,200. 10. The process of restating an amount of foreign currency in terms of the equivalent number of U.S. dollars for journalizing or reporting purposes is called: A. Foreign Exchange B. Translating a Currency C. Exchange Rate D. Adjusting for Gain or Loss on Currency transactions