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On December 15, 2017, Lisbeth Inc. (a U.S. company purchases merchandise inventory from a foreign supplier for 50,000 schillings. Lisbeth agrees to pay in 45
On December 15, 2017, Lisbeth Inc. (a U.S. company purchases merchandise inventory from a foreign supplier for 50,000 schillings. Lisbeth agrees to pay in 45 days after it sells the merchandise. Lisbeth makes sales rather quickly and pays the entire obligation on January 25, 2018. Currency exchange rates for 1 schilling are as follows: 0.30 December 15, 2017 December 31, 2017 917 January 25, 2018 January 31, 2018 Prepare all journal entries for Lisbeth Company in connection with this purchase and payment. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet Journal entry worksheet 2 3 4 Record inventory purchase from foreign supplier. Note: Enter debits before credits. General Journal Debit Credit Date 12/15/2015 Record the entry for changes in the exchange rate. Note: Enter debits before credits. Date General Journal Debit Credit 12/31/2015 F Record entry Clear entry View general journal Record the entry for changes in the exchange rate. Note: Enter debits before credits. General Journal Debit Credit Date 01/25/2016 Record entry Clear entry View general journal Record the payment made for inventory purchase at spot rate. Note: Enter debits before credits. Date General Journal Debit Credit 01/25/2016 Record entry Clear entry View general journal
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