Emerald Pty Ltd an Australian wine company based in South Australia entered a contractual arrangement with...
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Emerald Pty Ltd an Australian wine company based in South Australia entered a contractual arrangement with Demzat Ltd, a British company. Demzat Ltd is a robotic manufacturer and they are to build a specialized bottle filler that is capable of filling 2,500 wine of 750 ml bottles per minute. The relevant events and the spot rates at each date are shown as follows: Date Event Spot rate 15 November 2020 Emerald Pty Ltd ordered bottle filler £300 000 A$1.00 = 37p Purchase takes place as bottle filler is shipped A$1.00 = 41p to Emerald Pty Ltd (FOB) End of financial year 11 June 2021 30 June 2021 A$1.00 = 43p 15 July 2021 Installed and ready for use A$1.00 = 42p 11 August 2021 Payment of £300 000 to Demzat Ltd is made A$1.00 = 39p Required: Prepare appropriate journal entries for each relevant event. Emerald Pty Ltd an Australian wine company based in South Australia entered a contractual arrangement with Demzat Ltd, a British company. Demzat Ltd is a robotic manufacturer and they are to build a specialized bottle filler that is capable of filling 2,500 wine of 750 ml bottles per minute. The relevant events and the spot rates at each date are shown as follows: Date Event Spot rate 15 November 2020 Emerald Pty Ltd ordered bottle filler £300 000 A$1.00 = 37p Purchase takes place as bottle filler is shipped A$1.00 = 41p to Emerald Pty Ltd (FOB) End of financial year 11 June 2021 30 June 2021 A$1.00 = 43p 15 July 2021 Installed and ready for use A$1.00 = 42p 11 August 2021 Payment of £300 000 to Demzat Ltd is made A$1.00 = 39p Required: Prepare appropriate journal entries for each relevant event.
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Related Book For
International Business Law and its Environment
ISBN: 9781305972599
10th edition
Authors: Richard Schaffer, Filiberto Agusti, Lucien J. Dhooge
Posted Date:
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