The firm imported machinery. Purchase price is 700.000 USD (including transportation). For this import, the firm opened a letter of credit (L/C) at the time of order. The bank charged 2.000 TL for this service. When the firm received the machinery, it paid the purchase price to the bank (1 USD = 5 TL), and paid 68.000 TL import duty, 197.000 TL VAT. Make an accounting record when the firm received the machinery.

Select one:

Machinery debit 3.570.000 TL, VAT Deductible debit 197.000 TL, Advance Payments credit 2.000, Banks credit 3.765.000 TL

Machinery debit 3.570.000 TL, VAT Deductible debit 197.000 TL, Banks credit 3.767.000 TL

Machinery debit 3.568.000 TL, VAT Deductible debit 197.000 TL, Advance Payments credit 2.000, Banks credit 3.763.000 TL

Machinery debit 3.568.000 TL, VAT Deductible debit 197.000 TL, Banks credit 3.765.000 TL