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_____ at 12/31/06, When the Direct Spot Exchange Rate Was

Question 131

Multiple Choice

_____ At 12/31/06, when the direct spot exchange rate was $.008, a foreign subsidiary reported the following analysis of its year-end inventory and exchange rates existing when the inventory was purchased:
_____ At 12/31/06, when the direct spot exchange rate was $.008, a foreign subsidiary reported the following analysis of its year-end inventory and exchange rates existing when the inventory was purchased: The average exchange rate for 2006 was $.006. Under the temporal method, at what amount should the inventory be reported in U.S. dollars? A) $300,000 B) $350,000 C) $360,000 D) $420,000 E) $480,000 The average exchange rate for 2006 was $.006. Under the temporal method, at what amount should the inventory be reported in U.S. dollars?


A) $300,000
B) $350,000
C) $360,000
D) $420,000
E) $480,000

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