Question
1.Write the journal entries for the following: ABC LTD sold their truck in exchange for 1000 bitcoins on 1/7/2018. The price for 1 bitcoin =
1.Write the journal entries for the following: ABC LTD sold their truck in exchange for 1000 bitcoins on 1/7/2018. The price for 1 bitcoin = 80AUD ABC LTD planned to hold onto Bitcoin. On 30/6/2019 the price of 1 bitcoin decreased from 80AUD to 40AUD On 30/6/2020 the price of 1 bitcoin increased from 40AUD to 90AUD On 30/6/2021 the price of 1 bitcoin increased from 90AUD to 110 AUD On 30/6/2021, ABD LTD decided to sell 1000 bitcoins. Note the ABC LTD recognized Bitcoin as their indefinite-lived intangible asset and used a revaluation model. 2.Comment on the likely impact of these journals on ABC's "earnings" number and balance sheet in the period covered in (1) above.
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