Hedged Forecasted Sale Bectel, Inc. expects to sell merchandise for C$1,000,000 to a Canadian customer...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Hedged Forecasted Sale Bectel, Inc. expects to sell merchandise for C$1,000,000 to a Canadian customer at the end of November, 2020. In anticipation of this forecasted transaction, on August 30, 2020, Bectel sold C$1,000,000 forward for delivery on November 30, 2020. Bectel made the sale as expected on November 30, and settled the forward contract. Relevant exchange rates ($/C$) are as follows:
Required Prepare the journal entries made by Bectel on November 30 concerning the above events. Assume Bectel is a calendar-year company. There are 4 total entries.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
