Question
On December 1, 20X1, Micro World Inc. entered into a 120-day forward contract to sell 100,000 Australian dollars (A$). Micro World's fiscal year ends on
On December 1, 20X1, Micro World Inc. entered into a 120-day forward contract to sell 100,000 Australian dollars (A$). Micro World's fiscal year ends on December 31. The direct exchange rates follow:
Date Spot RateForward Rate for March 31, 20X2
December 1, 20X1$0.600$0.609
December 31, 20X10.6100.612
January 30, 20X20.6080.605
March 31, 20X20.602
(Also attached PNG for snapshot of table)
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Fundamental Accounting Principles Volume I
Authors: Kermit Larson, Tilly Jensen, Heidi Dieckmann
16th Canadian edition
978-1260305821
