Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ACT 406 - Foreign Currency Transactions Homework The following are transactions of a U.S.-based company called international Treasures that Imports and exports goods. Record the

image text in transcribed
image text in transcribed
ACT 406 - Foreign Currency Transactions Homework The following are transactions of a U.S.-based company called international Treasures that Imports and exports goods. Record the journal entries for each of the transactions below. 1. On May 16, 2018, International Treasures purchased Norwegian sweaters from a Norwegian company called Sate Genserfor 6,000 NOK. The transaction is denominated in NOK and the amount due is payable on May 31, 2018 2. On May 31, 2018, International Treasures paid the 6,000 NOK owed to Sete Genser. 3. On June 6, 2018, International Treasures sold boxes of macaroni and cheese to ICA, a Swedish grocery store chain, for 10,000 SEK. The transaction is denominated in SEK and the amount is due from ICA on July 6, 2018. 4. On June 15, 2018, International Treasures purchased sausages from a German company called Schlechterwurst for 3,000 EUR. The transaction is denominated in EUR and the amount due is payable on July 15, 2018 5. International Treasures prepares its quarterly financial statements for the quarterending June 30, 2018. Make the following journal entries: a. The journal entry to accrue any unrealized foreign currency gain or loss and to present any foreign currency payables at the proper amount. b. The journal entry to accrue any unrealized foreign currency gain or loss and to present any foreign currency receivables at the proper amount. 6 9. On July 6, 2018, International Treasures receives the 10,000 SEK payment from ICA. 6. On July 15, 2018, International Treasures makes the 3,000 EUR payment to Schelechterwurst. ACT 406 - Foreign Currency Transactions Homework The following are transactions of a U.S.-based company called international Treasures that Imports and exports goods. Record the journal entries for each of the transactions below. 1. On May 16, 2018, International Treasures purchased Norwegian sweaters from a Norwegian company called Sate Genserfor 6,000 NOK. The transaction is denominated in NOK and the amount due is payable on May 31, 2018 2. On May 31, 2018, International Treasures paid the 6,000 NOK owed to Sete Genser. 3. On June 6, 2018, International Treasures sold boxes of macaroni and cheese to ICA, a Swedish grocery store chain, for 10,000 SEK. The transaction is denominated in SEK and the amount is due from ICA on July 6, 2018. 4. On June 15, 2018, International Treasures purchased sausages from a German company called Schlechterwurst for 3,000 EUR. The transaction is denominated in EUR and the amount due is payable on July 15, 2018 5. International Treasures prepares its quarterly financial statements for the quarterending June 30, 2018. Make the following journal entries: a. The journal entry to accrue any unrealized foreign currency gain or loss and to present any foreign currency payables at the proper amount. b. The journal entry to accrue any unrealized foreign currency gain or loss and to present any foreign currency receivables at the proper amount. 6 9. On July 6, 2018, International Treasures receives the 10,000 SEK payment from ICA. 6. On July 15, 2018, International Treasures makes the 3,000 EUR payment to Schelechterwurst

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

Determine ZT and I for the circuit in Fig. 9.72. 462 6 2 120/10 V

Answered: 1 week ago

Question

| Who are people who model the values that I want to live?

Answered: 1 week ago