On 1 May 2015 Harry's Plastics Ltd acquires goods from a supplier in the 

US. The goods are shipped f.o.b. from the United States on 1 May 2015. 

The cost of the goods is US$1 500 000. The amount has not been paid at 

period end, 30 June 2015. Exchange rates are as follows:

  Harry's Plastics Ltd uses a perpetual inventory system.

 What entries are required at transaction date and reporting date (rounded

to the nearest whole A$)?

Transcribed Image Text:

1 May 2015 30 June 2015 A$1.00 US$0.59 = = A$1.00 US$0.52 1 May 2015 30 June 2015 A$1.00 US$0.59 = = A$1.00 US$0.52