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Hunt Co. purchased merchandise for 300,000 British pounds from a vendor in London on November 30, Year 4. Payment in British pounds was due on

Hunt Co. purchased merchandise for 300,000 British pounds from a vendor in London on November 30, Year 4. Payment in British pounds was due on January 30, Year 5. The exchange rates to purchase one pound were as follows:

November 30,

December 31,

Year 4

Year 4

Spot-rate

$1.65

$1.62

30-day rate

1.64

1.59

60-day rate

1.63

1.56

In its December 31, Year 4, income statement, what amount should Hunt report as foreign currency transaction gain?

$12,000

$9,000

$0

$6,000

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