Question 3

On September 1, 2030, Baby Co. acquired a computer for $100,000 when the exchange rate is P1 = $20. Baby reported foreign exchange loss of P15,000 in its 2030 financial statement and Pio,000 foreign exchange gain in its 2031 financial statements. How much is the cost of computer on December 31, 2031 statement of financial position?

Select one:

P20,000

P2,000,000

P10,000

P5,000

Question 4

On September 1, 2019, JLM Company, a Philippine Based Company ordered 1000 units of inventory from a U.S. Corporation for $25,000. The inventory was shipped and invoiced to JLM firm on December 1, 2019 to be paid on February 1, 2020. JLM's fiscal year ends on December 31. Assume that JLM did not engage in any form of hedging activity. The following are the spot rates for U.S. Dollars at various times are as follow: How much is the Net ForEx gain or loss)?

Select one:

(8,750)

(11,250)

8,750

11,250

Question 5

A Corporation received a promissory note denominated in foreign currency from the sales made to a Singaporean customer. The following were the related transactions: (in Singapore Dollars). On December 1, A Corporation sold merchandise to a Singaporean customer for 60-day, 12% promissory note for $32,000, at a buying rate of $1 to P34.20. On December 31, the buying spot rate is $1 to P34.85. On January 30, the buying spot rate is $1 to P33.75. How much is the total notes receivable" to be recorded in the Dec. 31, financial position?

Select one:

P1,126,352

P1,115,200

P1,094,400

P918.22