Question 3 Example 1: On Dec 20, a US firm purchased equipment worth $1,000 Euros on account. The payment was made on Jan 20 (There is no forward contract taken here) Exchange rates 1 Euro = 1 Euro 1 Euro $1.30 $1,40 $1.45 20-Dec 31-Dec 20-Jan What is the journal entry for the transaction on Dec 207 Debit Equipment $1,300, credit Cash $1,300 Debit Account Receivable $1,300, credit Sales Revenue $1,300 Debit Account Payable $1,300, credit Equipment $1,300 Debit Equipment $1,300, credit count Payabio $1,000