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3. Flourite Ltd has engaged the company Celestite Lid a company based company in Brazil to build for them a machine that will polish raw
3. Flourite Ltd has engaged the company Celestite Lid a company based company in Brazil to build for them a machine that will polish raw crystals to sell to their customers. As part of the contract that was signed on 1 July 2021, Celestite Ltd requires the purchase of the equipment to be paid in US dollars. The cost of the machine to Flourite Ltd will be $USD150,000. The machine was built and shipped to Australia FOB Brazil on the 31 December 2021. The relevant exchange rates were as follows 1 July 2021 AS 1.00 = US$ 0.70 31 December 2021 A$1.00 = US$ 0.65 What is the change in the value in of the equipment in Ditto's accounts as at 31 December 2021? a. $7,500 DR b. $16,483 CR C. $16,483 DR d. $7,500 CR Justification
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