appropriate revisions of monetary amounts. lowing each transaction is the exchange rate for the euro on...

 

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appropriate revisions of monetary amounts. lowing each transaction is the exchange rate for the euro on the Year 2018 transactions and events of Santo's home office and Froznee branch with a date of the transaction and event. Branch is located in France, and that the functional currency of Froznee Branch is the U.S. that both the home office and Froznee Branch use the perpetual inventory system, Froznee although the branch maintains its accounting records in the euro (€), the local currency. transactions and Events for Year 2018 $1.065). 1. Cash of $1,000 was sent by the home office to Froznee Branch (€1= 2. Merchandise with a cost of$60,000 was shipped by the home office to Froznee Branch at a billed price of $90,000 (€1-$1.065). 3. Equipment was acquired by Froznee Branch for €500, to be carried in the home office accounting records (E1-S 1.054). 4. Sales by Froznee Branch on credit amounted to €92500 (1 = S 1.058). Cost of goods sold was € 64,818. 5. Collections of trade accounts receivable by Froznee Branch amounted to € 68,400 (€1=$1.055), 6. Payments for operating expenses by Froznee Branch totaled €6,414 (€1= $1,060). 7. Cash of € 37,500 was remitted by Froznee Branch to home office (El= $1.060). 8. Operating expenses incurred by the home office charged to Froznee Branch totaled $3,000 (€1-$1.063). dollas, The exchange rate on December 31, 2018, was El = $1.058. Instructions: (a) Prepare journal entries to record the above transactions and events for both the home office and Froznee Branch (explanations omitted). (b) Prepare the Froznee Branch trial balance (in euros) on December 31, 2018. (c) Remeasurement of Froznee Branch trial balance to US$ functional currency from euros. appropriate revisions of monetary amounts. lowing each transaction is the exchange rate for the euro on the Year 2018 transactions and events of Santo's home office and Froznee branch with a date of the transaction and event. Branch is located in France, and that the functional currency of Froznee Branch is the U.S. that both the home office and Froznee Branch use the perpetual inventory system, Froznee although the branch maintains its accounting records in the euro (€), the local currency. transactions and Events for Year 2018 $1.065). 1. Cash of $1,000 was sent by the home office to Froznee Branch (€1= 2. Merchandise with a cost of$60,000 was shipped by the home office to Froznee Branch at a billed price of $90,000 (€1-$1.065). 3. Equipment was acquired by Froznee Branch for €500, to be carried in the home office accounting records (E1-S 1.054). 4. Sales by Froznee Branch on credit amounted to €92500 (1 = S 1.058). Cost of goods sold was € 64,818. 5. Collections of trade accounts receivable by Froznee Branch amounted to € 68,400 (€1=$1.055), 6. Payments for operating expenses by Froznee Branch totaled €6,414 (€1= $1,060). 7. Cash of € 37,500 was remitted by Froznee Branch to home office (El= $1.060). 8. Operating expenses incurred by the home office charged to Froznee Branch totaled $3,000 (€1-$1.063). dollas, The exchange rate on December 31, 2018, was El = $1.058. Instructions: (a) Prepare journal entries to record the above transactions and events for both the home office and Froznee Branch (explanations omitted). (b) Prepare the Froznee Branch trial balance (in euros) on December 31, 2018. (c) Remeasurement of Froznee Branch trial balance to US$ functional currency from euros.

Answer rating: 100% (QA)

a Home Office 1 De bit Cash 1000 and Credit Accounts Pay able 1000 2 De bit Merch andise Inventory 9 ... View the full answer