November 1 , 2004 , for delivery on January 31 , 2005 : Flint entered into the forward contract in order to speculate in the foreign currency . In Flint ' s income statement for the year ended December 31 , 2004 , what amount of loss should be reported from this forward contract ?
Question 8
In 2003 , a personal injury lawsuit was brought against Halsey Co . Based on counsel ' s estimate , Halsey reported a $ 50,000 liability in its December 31 , 2003 , balance sheet . In November 2004 , Halsey received a favorable judgment , requiring the plaintiff to reimburse Halsey for expenses of $ 30,000 . The plaintiff has appealed the decision , and Halsey ' s counsel is unable to predict the outcome of the appeal . In its December 31 , 2004 , balance sheet , Halsey should report what amounts of asset and liability related to these legal actions ?
Question 9
Which of the following is not a contingent liability under international accounting standards ?
Question 10
Based on preliminary discussions with a foreign customer , Alcoco , a U . S . entity , budgeted a significant sale to the foreign entity denominated in its foreign currency expected in June 2009 . To hedge the risk of an adverse exchange rate change on the dollar value of the expected sale , on January 2 , 2009 , Alcoco entered into a forward exchange contract to sell an amount of the foreign currency equal to the expected sale . On