Question 2 On 1 July 2014 Esso Ltd enters into an arrangement with a US bank - Citu to borrow US$900 000. The term of the loan is 3 years with interest payable annually in arrears on 30 June at the rate of 10 per cent. The exchange rate information is: 1 July 2014 30 June 2015 AS1 = US$0.45 AS1 = US$0.55 What journal entries are required in Esso Ltd's books for 1 July 2014 and 30 June 2015 in accordance with AASB 121 (rounded to the nearest whole A$)? Hint: 3 Journal Entries (7 Marks) Question 3 Kosta Ltd has received applications for 4 million shares during July 2020. The shares are to be issued at a price of $2.75 per share. The 4 million shares are allotted on 15 August 2020. What are the accounting entries required to record these events? Required: Provide the journal entries necessary to account for the application of Kosta Ltd's shares. Hint: 3 Journal Entries