Globe Shipping, a U.S. company, is an importer and exporter. The following are some transactions with foreign companies.

1. Globe Shipping sold blue jeans to a French importer on January 15 for \(\$ 7,400\), when the exchange rate was FF \(1=\$ .185\). Collection, in dollars, was made on March 15 , when the exchange rate was \(\$ .180\).

2. On March 8, Globe Shipping purchased woolen goods from Ireland for 7,000 pounds (IR£). The exchange rate was IR£1 \(=\$ 1.68\) on March 8 , but the rate was \(\$ 1.66\) when payment was made on May 1 .

3. On May 12, Globe Shipping signed a contract to purchase toys made in Taiwan for 80.000 Taiwan dollars (NT\$). The toys were to be delivered 80 days later on August 1, and payment was due on September 9 , which was 40 days after delivery. Also, on May 12, Globe Shipping entered into a 120-day forward contract to buy 80,000 Taiwan dollars at a forward rate of NT\$1 \(=\$ .0376\). On August 1, the forward rate for a September 9 exchange is NT \(\$ 1=\$ .0378\). The spot rates were as follows:

4. Globe Shipping sold microcomputers to a German enterprise on June 6 for 150,000 marks. Payment was due in 90 days, on September 4. On July 6, Globe Shipping entered into a 60 -day forward contract to sell 150,000 marks at a forward rate of DM \(1=\$ .580\). The spot rates were as follows:

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Prepare all necessary journal entries for Globe Shipping to account for the foreign transactions, including the sales and purchases of inventory, forward contracts, and settlements.

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May 12 August 1 NT$1 = $.0370 NTS1.0375 September 9 NTS1 = .0372