Required A Required B Prepare journal entries for Rone to record the purchase, the adjustment on December 31, and the settlement. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. No Date General Journal 1 December 1, 20X1 Inventory (or Purchases) Accounts payable (SFr) Debit 10,500 Credit 10,500 2 December 31, 20X Accounts payable (SFr) 600 Foreign currency transaction gain 600 3 January 15, 20X2 Accounts payable (SFr) 10,200 10,200 4 Cash January 15, 20X2 Foreign currency transaction gain Accounts payable (SFr) 5 January 15, 20X2 Inventory (or Purchases) Accounts payable (SFr) < Required A Required B > 300 300 10,500 × 10,500
Required A Required B Prepare journal entries for Rone to record the purchase, the adjustment on December 31, and the settlement. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. No Date General Journal 1 December 1, 20X1 Inventory (or Purchases) Accounts payable (SFr) Debit 10,500 Credit 10,500 2 December 31, 20X Accounts payable (SFr) 600 Foreign currency transaction gain 600 3 January 15, 20X2 Accounts payable (SFr) 10,200 10,200 4 Cash January 15, 20X2 Foreign currency transaction gain Accounts payable (SFr) 5 January 15, 20X2 Inventory (or Purchases) Accounts payable (SFr) < Required A Required B > 300 300 10,500 × 10,500
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter10: Accounting For Sales And Cash Receipts
Section: Chapter Questions
Problem 7SEB: JOURNALIZING SALES RETURNS AND ALLOWANCES Enter the following transactions starting on page 60 of a...
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2)
On December 1, 20X1, Rone Imports, a U.S. company, purchased clocks from Switzerland for 15,000 francs (SFr) to be paid on January 15, 20X2. Rone’s fiscal year ends on December 31, and its reporting currency is the U.S. dollar. The exchange rates are
December 1, 20X1 | 1 SFr = $0.70 |
---|---|
December 31, 20X1 | 1 SFr = 0.66 |
January 15, 20X2 | 1 SFr = 0.68 |
b. Prepare journal entries for Rone to record the purchase, the adjustment on December 31, and the settlement.
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