PLEASE REPLY TO THIS DISCUSION . 350 WORDS NEED ASAP!
eBay’s financial results are impacted by the foreign currency exchange rates because they convert revenue to U.S dollars. eBay’s revenue is mostly outside of the United States, however there headquarters are located in San Jose, California. The business is concerned with two different types of materials. They are offices supplies such as computers, headsets, etc. They other type of materials they are concerned with are the amount of materials that are listed on there website. They need to have the proper copyright and trademark licenses. eBay uses foreign currency exchange contracts to reduce expenses. The “intercompany balances that are exposed to foreign exchange rate fluctuations may differ materially from expectations and we may record significant gains or losses due to foreign currency fluctuations and related hedging activities”.
SCHENKEL, S., 2021. Ebay Sec10-K. [online] Ebay.q4cdn.com. <https://ebay.q4cdn.com/610426115/files/doc_financials/2019/ar/2019-Annual-Report-(3).pdf> [Accessed 2 February 2021].