Use the following forward and spot prices for Canadian dollars C$ to answer the question below. The prices are in US dollars $C$
Spot rate Forward rate for
delivery of Canadian dollars
November $ $
December
March
April
On November a US company takes delivery of merchandise costing C$ from a Canadian supplier and records an account payable. On the same date, the company enters a forward contract locking in the US dollar purchase price of C$ for delivery on April The forward contract is closed and payment is made to the supplier on April The companys accounting year ends on December
What is the net exchange gain or loss for
$ gain
$ loss
$ loss
$ gain
