The following data applies to the next three questions.

UVW Ltd$,$ an Australian company, purchases inventory from XYZ plc$,$ a listed British company. Relevant

events and the spot rates at each date are shown as follows:

Question $8.$ The book value of the inventory on the day it is recorded as an asset by UVW Ltd is

$($in whole dollars$)$:

a$)$

b$)$ $$1,621,622$

c$)$ $$1,576,815$

d$)$ $$1,350,015$

c$)$ $$1,428,571$

Question $9.$ The cumulative gain or loss on the foreign currency payable reported in UVW's

Income Statement for the year ended $30$ June $2009$ is:

a$)$ Zero

b$)$ $$1,666$ gain

c$)$ $$68,066$ loss

d$)$ $$68,066$ gain

e$)$ $$1,666$ loss

Question $10.$ The net gain or loss on the foreign currency payable and the hedge contract from

$1$ July $2009$ to $1$ August $2009$ is $($in whole dollars$)$

a$)$ Zero

b$)$ $$3,798$ loss

c$)$ $$143,113$ gain

d$)$ $$143,113$ loss $1$

e$)$ $$139,314$ gain