On 1 November 2017, Welch Ltd (functional currency ) buys a factory for 840,000 on credit....

   

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On 1 November 2017, Welch Ltd (functional currency £) buys a factory for €840,000 on credit. The exchange rate is £1= €1.5. Welch Ltd carries all buildings at market value. At 31 December 2017, Welch Ltd's end of the reporting period, the payable is still unsettled and the exchange rate is £1 = €1.4. The factory is valued at the year- end and has a fair value of €900,000. On initial recognition (1 November 2017) the factory and payable are recorded at E On 31 December 2017, the factory is recorded at £ On 31 December 2017, the trade payable is recorded at £ On 1 November 2017, Welch Ltd (functional currency £) buys a factory for €840,000 on credit. The exchange rate is £1= €1.5. Welch Ltd carries all buildings at market value. At 31 December 2017, Welch Ltd's end of the reporting period, the payable is still unsettled and the exchange rate is £1 = €1.4. The factory is valued at the year- end and has a fair value of €900,000. On initial recognition (1 November 2017) the factory and payable are recorded at E On 31 December 2017, the factory is recorded at £ On 31 December 2017, the trade payable is recorded at £