Apple Core, a U.S. company, sold 125,000 cases of tropical fruit to Minh Market, a Vietnamese firm,
Question:
1. What will be the value of the accounts receivable on December 31, 2009, in Vietnamese dong?
2. What will be the value of the accounts receivable on December 31, 2009, in U.S. dollars?
3. Will Apple Core recognize an exchange gain or loss at December 31, 2009? Explain.
4. Will Apple Core recognize an exchange gain or loss on January 16, 2010? Explain.
5. In connection with this sale, what amount will Apple Core report as Sales Revenue in its income statement for 2009?
6. In connection with this sale, what amount will Apple Core report as Cash Collected from Customers in its statement of cash flows for 2010?
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Related Book For
Financial Accounting
ISBN: 978-0324645576
10th edition
Authors: W. Steve Albrecht, James D. Stice, Earl K. Stice
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