Gemella Ltd manulactures construction equipment for sale throughout Eostern Canoda ond the Northeastern United States its year. end is June 30 The following foreign currency transections occurred during the Year 1 calendar year 1. On January 10, Gemella agreed to sell equipment to an American customer for US\$220,000 for delivery on or before March 31 and received a deposh of US\$22,000. The balance is payable on July 31 2. On Merch 17, the equipment was delivered to the American customer. 3. On May 1, Gemella purchased 100 ocres of Iand in Syracuse, New York, for US 5320,000 as a long term investment Filty perceat of the purchase pnce was paid on May 1. The balance is due on May 1, Year 2, along with interest at the rate of 6%. 4. On June 30, the 100 acres of lond had a market value of US\$330,000. Gemella reports its long-term investments in iand at historical cost and disctoses the market value of the lond in the notes to is financiel statements 5 On July 31 , the balance owing was received from the Arrerican customet The following spot rotes exist dufing the penod Jenvery to July, Yen 1 Exchanger cotes changed everly between the dales indicated above Reguired: (o) Prepare the joumai entries for the vansactions sated abowe ncluding yeac end adjusung entries. (Round your answers to ? decimst places?) (a) Prepare the joumal entries for the transactions stated above including year-end adjusting entries. (Round your answers to 2 decimal pleces.) (1) What value will be difclosed in the notes to the yeariend financial ststements pertaining to the land purchased ini 5y iacuse? (Omit S sign in your tespencel 5 eigh in your tesponse.l Waluat of Land diseloled in the notes to the finhocial stovements 15 Gemella Ltd manulactures construction equipment for sale throughout Eostern Canoda ond the Northeastern United States its year. end is June 30 The following foreign currency transections occurred during the Year 1 calendar year 1. On January 10, Gemella agreed to sell equipment to an American customer for US\$220,000 for delivery on or before March 31 and received a deposh of US\$22,000. The balance is payable on July 31 2. On Merch 17, the equipment was delivered to the American customer. 3. On May 1, Gemella purchased 100 ocres of Iand in Syracuse, New York, for US 5320,000 as a long term investment Filty perceat of the purchase pnce was paid on May 1. The balance is due on May 1, Year 2, along with interest at the rate of 6%. 4. On June 30, the 100 acres of lond had a market value of US\$330,000. Gemella reports its long-term investments in iand at historical cost and disctoses the market value of the lond in the notes to is financiel statements 5 On July 31 , the balance owing was received from the Arrerican customet The following spot rotes exist dufing the penod Jenvery to July, Yen 1 Exchanger cotes changed everly between the dales indicated above Reguired: (o) Prepare the joumai entries for the vansactions sated abowe ncluding yeac end adjusung entries. (Round your answers to ? decimst places?) (a) Prepare the joumal entries for the transactions stated above including year-end adjusting entries. (Round your answers to 2 decimal pleces.) (1) What value will be difclosed in the notes to the yeariend financial ststements pertaining to the land purchased ini 5y iacuse? (Omit S sign in your tespencel 5 eigh in your tesponse.l Waluat of Land diseloled in the notes to the finhocial stovements 15
