Honesty Company placed a purchase order to a Singaporean Company on October 9, 2022. The contract price was S$150,000. The merchandise was delivered on November 19, 2022. The invoice was dated November 15, 2022, FOB Destination. Full payment was paid on January 15, 2023. The spot rate for the Singaporean Dollar on the respective dates is as follows (see image below). Answer the following subquestions: a. How much is the Purchases to be reported in 2022? b. How much is Foreign Exchange Gain (Loss)
Honesty Company placed a purchase order to a Singaporean Company on October 9, 2022. The contract price was S$150,000. The merchandise was delivered on November 19, 2022. The invoice was dated November 15, 2022, FOB Destination. Full payment was paid on January 15, 2023. The spot rate for the Singaporean Dollar on the respective dates is as follows (see image below). Answer the following subquestions: a. How much is the Purchases to be reported in 2022? b. How much is Foreign Exchange Gain (Loss)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Accounting for Business Combinations
Honesty Company placed a purchase order to a Singaporean Company on October 9, 2022. The contract price was S$150,000. The merchandise was delivered on November 19, 2022. The invoice was dated November 15, 2022, FOB Destination. Full payment was paid on January 15, 2023. The spot rate for the Singaporean Dollar on the respective dates is as follows (see image below).
Answer the following subquestions:
a. How much is the Purchases to be reported in 2022?
b. How much is Foreign Exchange Gain (Loss) to be reported in 2022?
________________
thanks!
Transcribed Image Text:October 9
November 15
November 19
December 31
January 15
32.00
33.50
33.70
34.50
35.00
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education