On February 1, 2019, CEDN acquired inventory from USA, an American based supplier for

$USD 80,000.Legal possession of this inventory was also in February 1. CEDN's fiscal year end is August 31. An agreement was reached where payment for the inventory would be made November 30, 2019.The functional currency is the Canadian dollar, and there are no forward exchange contracts.

Some important dates regarding this transaction, as well as the exchange rates in effect at each of these dates are shown below:

Transaction date: February 1, 2019:

1 U.S. Dollar = CDN$1.325

Year end: August 31, 2019:

1 U.S. Dollar = CDN$1.315

Settlement date: November 30 , 2019:

1 U.S. Dollar = CDN$1.345

Required:

Prepare the journal entries that CEDN would prepare on:

a)Transaction Date (1 mark)

b)Reporting Date (2 marks)

c)Settlement Date (2 marks)