On November 12,Kendra,Inc B) C) D) E)No Journal Entry Is Required Until the Amount Is Collected

On November 12,Kendra,Inc.,a U.S.Company,sold merchandise on credit to Nakakura Company of Japan at a price of 1,500,000 yen.The exchange rate was $0.00837 per yen on the date of sale.On December 31,when Kendra prepared its financial statements,the exchange rate was $0.00843.Nakakura Company paid in full on January 12,when the exchange rate was $0.00861.On December 31,Kendra should prepare the following journal entry for this transaction:

A)
$\begin{array}{|l|r|r|}\hline \text { Sales.............................. } & 90 & \\\hline \text { Foreign Exchange Gain..... } & & 90 \\\hline\end{array}$

B)
$\begin{array}{|c|r|r|}\hline \text { Foreign Exchange Loss....... } & 90 & \\\hline \text { Sales................................. } & & 90 \\\hline\end{array}$

C)
$\begin{array}{|c|r|r|}\hline \text { Accounts Receivable - Nakakura Company........... } & 90 & \\\hline \text { Foreign Exchange Gain................................... } & & 90 \\\hline\end{array}$

D)
$\begin{array}{|c|r|r|}\hline \text { Foreign Exchange Gain or Loss..................... } & 90 & \\\hline \text { Accounts Receivable - Nakakura Company.... } & & 90 \\\hline\end{array}$

E) No journal entry is required until the amount is collected