Question
Record a journal entry addressing the following transactions: On July 2, 20X2, the central rates for the Japanese and Mexican currencies were Yen 0.009949/EUR and
Record a journal entry addressing the following transactions:
On July 2, 20X2, the central rates for the Japanese and Mexican currencies were Yen 0.009949/EUR and Peso 0.059571/EUR.
Suppose that on July 2, 20X2, the central rates for the Singapore and South African currencies were Singapore Dollar (S$) 0.789085/US Dollar (US$) and Rand 0.122540/US$.
If the Bank of Germany borrowed Australian Dollar (A$) 25 billion from the Bank of Australia before the global financial crisis of 2007. At that time, the rate was A$ 1.68751/ or US$1.4786 /. In 20X2, the Bank of Australia repaid the money borrowed. At the time of repayment, the rate was A$1.22829/ or US$ 1.25929/. a. Calculate the percentage of devaluation of Euro against Australian Dollar as well as Euro against the US dollars. b. Calculate the cost of intervention to the Bank of Germany in Euro and US Dollars.
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