Kimano Inc records its transaction in U.S. dollars. A purchase of goods resulted in payable denominated in British Pounds and a sale of goods resulted in a receivable denominated in Mexican Pesos. Kimano

recorded a foreign exchange loss on a collection of receivables and an exchange gain on settlement of the payable. The exchange rates are expressed as so many units of foreign currency to one dollar. Did the number of

foreign currency units exchangeable for a dollar decrease or increase between the contract and settlement dates?

A. British Pound exchangeable for $1: Increase, Pesos exchangeable for $1: Increase

B. British Pound exchangeable for $1: No change, Pesos exchangeable for $1: No change

C. British Pound exchangeable for $1: Decrease, Pesos exchangeable for $1: Increase

D. British Pound exchangeable for $1: Decrease, Pesos exchangeable for $1: Decrease

E. British Pound exchangeable for $1: Increase, Pesos exchangeable for $1: Decrease