Question - Levin Company entered into a forward contract to speculate in the foreign currency. It sold 100,000 foreign currency units under a contract dated November 1, 2008, for delivery on January 31, 2009:
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11/1/2008
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12/31/2008
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Spot rates
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$0.035
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$0.037
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30-day forward rate
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$0.034
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$0.036
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90-day forward rate
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$0.033
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$0.035
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In its income statement for the year ended December 31, 2008, what amount of loss should Levin report from this forward contract?
A. $0
B. $300
C. $200
D. $100