Blakeseven exports "Orac" Artificial Intelligence (AI) systems for use in "Liberator" military drones produced by ServalanUS. On 12th June, 2022, Blakeseven received an order for 20 systems at USD 10 000 each, i.e. USD 200 000. As these systems are produced on a just-in-time basis, they will not be shipped/sold until 20th of July. This transaction does not meet the definition of a firm commitment. In anticipation of this sale, and in order to minimise currency risk exposure, Blakeseven takes a position on 12th June in a forward currency contract to sell USD 200 000, with a delivery date of 20th July. Blakeseven's financial year ended on 30th June. You may assume that the forward contracts meets the effectiveness conditions for a Cash Flow Hedge.

The following exchange and spot rate information is available:

Required

Assuming that payment is received on time, show the journal entries (if any) for each of the following dates (with amounts shown to the nearest dollar):

1(st) May, 2022

15(th) May, 2022

30(th) June, 2022

15(th) July, 2022

If no journal entry is required on a particular date, then please state this and discuss why no entry is required.

\begin{tabular}{|l|l|l|} \hline date & Spot rate & Forward rate for 15 th July \\ \hline 1st May, 2022 & 1.00AUD=0.72 EUR & 1.00AUD=0.70 EUR \\ \hline 15th May, 2022 & 1.00AUD=0.70 EUR & 1.00AUD=0.69 EUR \\ \hline 30th June, 2022 & 1.00AUD=0.68 EUR & 1.00AUD=0.67 EUR \\ \hline 15th July, 2022 & 1.00AUD=0.66 EUR & 1.00AUD=0.66 EUR \\ \hline \end{tabular} \begin{tabular}{|l|l|l|} \hline date & Spot rate & Forward rate for 15 th July \\ \hline 1st May, 2022 & 1.00AUD=0.72 EUR & 1.00AUD=0.70 EUR \\ \hline 15th May, 2022 & 1.00AUD=0.70 EUR & 1.00AUD=0.69 EUR \\ \hline 30th June, 2022 & 1.00AUD=0.68 EUR & 1.00AUD=0.67 EUR \\ \hline 15th July, 2022 & 1.00AUD=0.66 EUR & 1.00AUD=0.66 EUR \\ \hline \end{tabular}