Question: A US entity sells apples to an entity based in Moldovia where the currency is the Moldovian Pound (Mol). The apples were sold on 1/10/2011 for Mol 200000 and were paid for in February 2012.
The rate on 1 october 2011 is US $1: Mol 1.55
The rate on 31 December , 2011(the reporting date) is US $1:Mol 1.34
Required
How does the US entity account for the transaction in its financial statements for the year ended 31st December 2011.