Sales revenue 56,880 2 July 22 Dollars receivable from exchange broker ($) Foreign currency payable to exchange broker (£) 58,680 58,680 3 September 20 Accounts receivable (£) Foreign currency transaction gain 1,152 1,152 4 September 20 Foreign currency payable to exchange broker (£) 648 X Foreign currency transaction gain 648 X 5 September 20 Foreign currency units (£) Accounts receivable (£) 58,032 58,032 6 September 20 Foreign currency payable to exchange broker (£) Foreign currency units (£) 58,032 58,032 7 September 20 Cash 58,680x Dollars receivable from exchange broker ($) 58,680 x

Sales revenue 56,880 2 July 22 Dollars receivable from exchange broker ($) Foreign currency payable to exchange broker (£) 58,680 58,680 3 September 20 Accounts receivable (£) Foreign currency transaction gain 1,152 1,152 4 September 20 Foreign currency payable to exchange broker (£) 648 X Foreign currency transaction gain 648 X 5 September 20 Foreign currency units (£) Accounts receivable (£) 58,032 58,032 6 September 20 Foreign currency payable to exchange broker (£) Foreign currency units (£) 58,032 58,032 7 September 20 Cash 58,680x Dollars receivable from exchange broker ($) 58,680 x

Fundamentals of Financial Management, Concise Edition (MindTap Course List)

9th Edition

ISBN:9781305635937

Author:Eugene F. Brigham, Joel F. Houston

Publisher:Eugene F. Brigham, Joel F. Houston

Chapter17: Multinational Financial Management

Section: Chapter Questions

Problem 1DQ: DISCUSSION QUESTIONS Recreate Table 17.1 for the following currencies: Australian dollar, British...

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00 *00 Dexter Inc. had the following items in its unadjusted and adjusted trial balances at December 31, 20X5: Trial Balances Unadjusted Adjusted $41,700 Accounts Receivable (denominated in Australian dollars) Dollars Receivable from Exchange Broker Foreign Currency Receivable from Exchange Broker Accounts Payable (denominated in South Korean won) Dollars Payable to Exchange Broker Foreign Currency Payable to Exchange Broker 000 009 ov 000 000 08 000 18 009 Additional Information 1. On December 1, 20X5, Dexter sold goods to a company in Australia for A$70,000. Payment in Australian dollars is due on January 30, 20X6. On the transaction date, Dexter entered into a 60-day forward contract to sell 70,000 Australian dollars on January 30, 20X6. The 30-day forward rate on December 31, 20X5, was A$1= $0.57. 2. On October 2, 20X5, Dexter purchased equipment from a South Korean company for KRW400,000, payable on January 30, 20X6. On the transaction date, Dexter entered into a 120-day forward…
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