Assume Facebook borrowed 50 million from an Irish bank to build a datacenter in Dublin. When the
Fantastic news! We've Found the answer you've been seeking!
Question:
Assume Facebook borrowed €50 million from an Irish bank to build a datacenter in Dublin. When the money was lent, the exchange rate was 1.34 dollars per euro, but has now changed to 1.18 dollars per euro.
Assuming that most of Facebook's shareholders live in the U.S.A.
What was Facebook's profit or loss as the result of the change in the exchange rate? Enter profits as positive numbers and losses as negative numbers?
Related Book For
Advanced Accounting
ISBN: 978-1934319307
2nd edition
Authors: Susan S. Hamlen, Ronald J. Huefner, James A. Largay III
Posted Date: