Assume a U

Assume a U.S. company purchases €200,000 worth of goods on January 1, 2009 when the exchange rate was $1.50/€. When the payment is made three months later, the exchange rate is $1.75/€.

A) The company will record a loss of $50,000 on payment date.
B) The company will record a gain of $50,000 on payment date
C) The company will record a loss of $25,000 on payment date.
D) The company will record a loss of $25,000 on payment date
E) The company will record a gain of $50,000 on purchase date.