On 1 March 2025, Quality Furniture Importers acquires furniture from a supplier in New Zealand. The furniture is shipped f.o.b. from New Zealand on 1 September 2025. The cost of the furniture is NZD $800 000. The amount has not been paid at 30 September 2025 and exchange rates are as follows: 1 September 2025 A$1.00 = NZD $1.08 30 September 2025 A$1.00 = NZD $1.06 Required: What is the amount payable at 1 September and 30 September 2025 in Australian dollars? (Rounded to the nearest whole A$.) ANSWER a): Did the Australian dollar strengthen or weaken? ANSWER b): Prepare the journal entries for the above dates showing the amount of exchange gain or loss

On 1 March 2025, Quality Furniture Importers acquires furniture from a supplier in New Zealand. The furniture is shipped f.o.b. from New Zealand on 1 September 2025. The cost of the furniture is NZD $800 000. The amount has not been paid at 30 September 2025 and exchange rates are as follows: 1 September 2025 A$1.00 = NZD $1.08 30 September 2025 A$1.00 = NZD $1.06 Required: What is the amount payable at 1 September and 30 September 2025 in Australian dollars? (Rounded to the nearest whole A$.) ANSWER a): Did the Australian dollar strengthen or weaken? ANSWER b): Prepare the journal entries for the above dates showing the amount of exchange gain or loss

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter9: Taxation Of International Transactions

Section: Chapter Questions

Problem 27P

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