ABC Ltd entered into an agreement to borrow £500 000 from Fistral plc, a UK affiliate on 1 July 2019. Fistral plc transferred the loan money to ABC Ltd’s Australian bank account on the contract day. The loan is for five years and requires the payment of interest at the rate of 10% on 30 June each year. ABC Ltd’s reporting date is 30 June.

The relevant exchange rates are:

1 July 2019 A$1.00=£0.50

30 June 2020 A$1.00=£0.40

Prepare the general journal entries for ABC Ltd to record the above events from 1 July 2019 to 30 June 2020, following the requirements of AASB 121.