On October 1, 20X4, Mild Co., a U. S. company, purchased machinery from Grund, a German company, with payment due on April 1, 20X5. If Mild's 20X4 operating income included no foreign exchange transaction gain or loss, then the transaction could have:
a. Caused a foreign currency gain to be reported as a contra account against machinery.
b. Caused a foreign currency translation gain to be reported as a component of other comprehensive income in stockholders' equity.
c. Resulted in an extraordinary gain.
d. Been denominated in U. S. dollars.
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On October 1, 20X4, Mild Co., a U. S. company, purchased machinery from Grund, a German company, wit...
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