A U.S.company makes a sale to a foreign customer receivable in 30 days in the customer's currency.The sale would be recorded by the U.S.company on the date:
A)Of sale using a projected estimate of the U.S.dollar value at payment date.
B)Of sale using a 30-day average U.S.dollar value.
C)Of sale using the current dollar value.
D)Of sale using the foreign currency value.
E)When payment is received.

Question

Quizplus · Accepted Answer

The sale is recorded on the date of sale using the current exchange rate to convert the foreign currency amount into U.S. dollars.

A UScompany Makes a Sale to a Foreign Customer Receivable in in 30