Question
A company reports a forward contract as a cash flow hedge of a forecasted transaction.How is hedge accounting used in this situation? a.Hedge accounting is
A company reports a forward contract as a cash flow hedge of a forecasted transaction.How is hedge accounting used in this situation?
a.Hedge accounting is used for both the forecasted transaction and the forward contract.
b.Hedge accounting is used for the forecasted transaction.The forward contract is reported normally.
c.Hedge accounting is used for the forward contract.The forecasted transaction is reported normally.
d.Normal accounting is used for both the forecasted transaction and the forward contract.
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Accounting Chapters 1-13
Authors: Carl Warren
27th Edition
1337272108, 978-1337272100
