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An analyst has gathered the following information about a US company's transaction: On February 1, 2021, it purchased 100,000 widgets from a British supplier at
An analyst has gathered the following information about a US company's transaction: On February 1, 2021, it purchased 100,000 widgets from a British supplier at a cost of two British pounds per unit. The invoice is payable in full 60 days from the invoice date. The Pound/Dollar exchange rate is 1.35 on February 1, 1.40 on March 1, and 1.30 on April 1. How would the company's internal accountants record the transaction in the company's internal books? At the time the invoice is signed. If the invoice is paid in full on March 1, 2021 If the invoice is paid on April 1, 2021
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