Question
Stem Ltd. purchased a Plant for US$ 30,000 on 30th November, 2013 payable after 6 months. The company entered into a forward contract for 6
Stem Ltd. purchased a Plant for US$ 30,000 on 30th November, 2013 payable after 6 months. The company entered into a forward contract for 6 months @ Rupees 62.15 per dollar. On 30th November, 2013, the exchange rate was Rupees 60.75 per dollar. How will you recognise the profit or loss on forward contract in the books of Stem Ltd. for the year ended 31st March, 2014 ?
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Strategic Management Theory And Cases An Integrated Approach
Authors: Charles W. L. Hill, Melissa A. Schilling, Gareth R. Jones
13th Edition
0357033841, 978-0357033845
