On April 1,2017,Manatee Company entered into two forward exchange contracts to purchase 300,000 euros each in 90 days.The relevant exchange rates are as follows: The second forward contract was strictly for speculation.On April 30,2017,what amount of foreign currency transaction gain should Manatee report in income.
A)$0.
B)$3,000.
C)$9,000.
D)$12,000.

Question

On April 1,2017,Manatee Company entered into two forward exchange contracts to purchase 300,000 euros each in 90 days.The relevant exchange rates are as follows:  The second forward contract was strictly for speculation.On April 30,2017,what amount of foreign currency transaction gain should Manatee report in income.
A)$0. 
B)$3,000. 
C)$9,000. 
D)$12,000.

Quizplus · Accepted Answer

The Answer of On April 1,2017,Manatee Company entered into two forward exchange contracts to purchase 300,000 euros each in 90 days.The relevant exchange rates are as follows:  The second forward contract was strictly for speculation.On April 30,2017,what amount of foreign currency transaction gain should Manatee report in income.
A)$0. 
B)$3,000. 
C)$9,000. 
D)$12,000.

On April 1,2017,Manatee Company Entered into Two Forward Exchange Contracts