Question 18 1 pts When the billing for a U.S. company's sale to a company in a foreign country is denominated in U.S. dollars, is required when preparing journal entries for the sale. O translation to a foreign currency O translation to U.S. dollars O no translation O conversion to a foreign currencyQuestion 19 Which of the following is a true statement regarding the recording of a transaction which involves foreign currency? O A transaction is always recorded in the currency in which it is denominated. O A transaction is always settled in the currency in which it is denominated. O A transaction is always settled in the currency in which it is measured. O A transaction is always measured in the currency in which it is denominated.Question 20 1 pts On April 8, 20X7 Day Corp. purchased merchandise from an unaffiliated foreign company for 10,000 units of the foreign company's local currency. Day paid the bill in full on March 1, 20X8 when the spot rate was $.45. The spot rate was $.60 on April 8, 20X7 and was $.55 on December 31, 20X7. For the year ended December 31, 20X8, Day should report a transaction gain of: O $1,000 O $500 O $0 O $1,150Question 21 1 pts Pigeon Corporation purchased land from its 60%-owned subsidiary, Seed Inc., in 2012 at a cost $50,000 greater than Seed's book value. In 2014, Pigeon sold the land to an outside entity for $20,000 more than Pigeon's book value. The 2014 consolidated income statement should report a gain on the sale of land of O $12,000. O $20,000. O $70,000. O $42,000.Question 7 1 pts On April 8, 20x7 Day Corp. purchased merchandise from an unaffiliated foreign company for 20,000 units of the foreign company's local currency. Day paid the bill in full on March 1, 20x8 when the spot rate was $.45. The spot rate was $.60 on April 8, 20x7 and was $.55 on December 31, 20x7. For the year ended December 31, 20x7, Day should report a transaction loss of: O $2,000 O None of these O $1,000 O $3,000 O $500