Show All Work !!!!!! Mian sells American gourmet foods to merchandisers in Singa
ID: 2368208 • Letter: S
Question
Show All Work !!!!!!
Mian sells American gourmet foods to merchandisers in Singapore. Prepare the journal entries for Mian to record the following transactions. Include any year-end adjustments.
Dec 20 - Sold items to Solingen, Inc., for 60,000 Singapore dollars. The exchange rate was $0.476 per Singapore dollar.
The purchase terms were n/30.
Dec 31 - The exchange rate was $0.480 per Singapore dollar.
Jan 17 - Received payment from Solingen for the December 20 sale. The exchange rate was $0.495 per Singapore dollar.
Explanation / Answer
Hi, Please find the journal entries as follows: Dec 20: Debit Accounts Receivables (60000*.476) 28,560 Credit Sales 28,560 Dec 31: Debit Accounts Receivables 240 Credit Foreign Exchange Gain/Loss 240 Jan 17: Debit Cash 29700 Credit Accounts Receivables 28,800 Credit Foreign Exchange Gain/Loss 900 Thanks.