Recording Export Transactions Daisy Brands, a U.S. company, sells items abroad. Daisy prices many of these transactions in the currency of the customer. Following are four such transactions made in the last accounting period, plus the direct exchange rates for each date: Country Amount Currency Spot rate at sale Spot rate at collection Argentina . . . . . . . . . . . . . . . . . . . . . . 250,000 Peso $0.056 $0.049 Canada . . . . . . . . . . . . . . . . . . . . . . . . 400,000 Dollar 0.732 0.713 India . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 Rupee 0.016 0.018 South Africa . . . . . . . . . . . . . . . . . . . . 100,000 Rand 0.074 0.077 Required Prepare the journal entries made by Daisy Brands to record the above sale and collection transaction
Recording Export Transactions Daisy Brands, a U.S. company, sells items abroad. Daisy prices many of these transactions in the currency of the customer. Following are four such transactions made in the last accounting period, plus the direct exchange rates for each date: Country Amount Currency Spot rate at sale Spot rate at collection Argentina . . . . . . . . . . . . . . . . . . . . . . 250,000 Peso $0.056 $0.049 Canada . . . . . . . . . . . . . . . . . . . . . . . . 400,000 Dollar 0.732 0.713 India . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 Rupee 0.016 0.018 South Africa . . . . . . . . . . . . . . . . . . . . 100,000 Rand 0.074 0.077 Required Prepare the journal entries made by Daisy Brands to record the above sale and collection transaction
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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| Recording Export Transactions Daisy Brands, a U.S. company, sells items abroad. Daisy prices | ||||||
| many of these transactions in the currency of the customer. Following are four such transactions made in | ||||||
| the last accounting period, plus the direct exchange rates for each date: | ||||||
| Country Amount Currency | ||||||
| Spot rate at | ||||||
| sale | ||||||
| Spot rate | ||||||
| at collection | ||||||
| Argentina . . . . . . . . . . . . . . . . . . . . . . 250,000 Peso $0.056 $0.049 | ||||||
| Canada . . . . . . . . . . . . . . . . . . . . . . . . 400,000 Dollar 0.732 0.713 | ||||||
| India . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 Rupee 0.016 0.018 | ||||||
| South Africa . . . . . . . . . . . . . . . . . . . . 100,000 Rand 0.074 0.077 | ||||||
| Required | ||||||
| Prepare the |
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