Exchange rates relative to the


On January 1, XYZ, a US company, purchased inventory from a Japanese supplier for ¥100,000,000, with payment to be made on February 28.  At the same time, it decided to enter into a forward contract to hedge the yen liability.  Assume the following exchange rates relative to the transaction:

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Accounting Basics: Exchange rates relative to the
Reference No:- TGS0661011

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