As of 31 December 2021, Manuel Textiles has two outstanding contracts with Abraham Chemicals. These contracts require
Fantastic news! We've Found the answer you've been seeking!
Question:
As of 31 December 2021, Manuel Textiles has two outstanding contracts with Abraham Chemicals. These contracts require that Manuel Textiles should purchase PTA from Abraham Chemicals at the rate of Rs.5,000 per ton on 31 March 2022.
Open Market Rate for PTA on 31 December 2021 is Rs.3,500 per ton. Would there be any impact of this contract on the financial statements of Manuel Textiles for the year ended 31 December 2021?
Related Book For
Intermediate Accounting
ISBN: 978-0176509736
10th Canadian Edition, Volume 1
Authors: Donald Kieso, Jerry Weygandt, Terry Warfield, Nicola Young,
Posted Date: