Question
Heavy Company sold metal scrap to a Brazilian company for 200,000 Brazilian reais on December 1, 20X8, with payment due on January 20, 20X9. The
Heavy Company sold metal scrap to a Brazilian company for 200,000 Brazilian reais on December 1, 20X8, with payment due on January 20, 20X9. The exchange rates were: December 1, 20XX, 1 real = $0.5435 December 31, 20XX, 1 real = $0.5192 January 20, 20XX, 1 real = $0.5305 Based on the preceding information, which of the following is true of dollar's movement vis--vis Brazilian real during the period?
A)December 1 - 31 the Dollar weakened and January 1 - 20 the Dollar weakened B)December 1 - 31 the Dollar strengthened and January 1 - 20 the Dollar weakened C)December 1 - 31 the Dollar weakened and January 1 - 20 the Dollar strengthened D)December 1 - 31 the Dollar strengthened and January 1 - 20 the Dollar strengthened
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