Hayden, Inc. purchased knobs from a Greek company for 176,000 Euros. On the purchase date the exchange rate was $0.80 per Euro, but when Hayden paid the liability, the exchange rate was $0.70 per Euro. When this foreign account payable was paid, Hayden, Inc., recorded a: Multiple Choice

Gain of $17,600.

Debit to Inventory of $17,600.

Credit to Accounts Payable of $140,800.

Loss of $17,600.

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