CH25 #33 Teal, Inc., a foreign corporation, pays a dividend to its shareholders on November 30. Red, Inc., a U.S. Corporation and 7% shareholder in Teal, receives a dividend of 10,000K (A foreign currency). Pertinent exchange rates are as follows. November 30 .9K: $1 Average for year .7K: $1 December 31 2K: $1 What is the dollar amount of the dividend received by Red, Inc.? Does Red, Inc., have a foreign exchange gain or loss on receipt of the dividend?
Paper#2949 | Written in 18-Jul-2015Price : $25