If a U.S. Company's credit sale to an international customer allows payment to be made in a foreign currency, the same exchange rate must be used for the date of sale and the cash payment date.

Question

Quizplus · Accepted Answer

The exchange rate may fluctuate between the date of sale and the cash payment date, and therefore, the exchange rate used for the cash payment should reflect the current rate on the payment date.

If a US Company's Credit Sale to an International Customer Allows Payment