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Sure Ltd Purchased Goods for £210,000 from a British Supplier

Question 35

Multiple Choice

Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows:
Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows: What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ? A) B) C) D) E) None of the given answers.
What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ?


A) Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows: What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ? A) B) C) D) E) None of the given answers.
B) Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows: What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ? A) B) C) D) E) None of the given answers.
C) Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows: What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ? A) B) C) D) E) None of the given answers.
D) Sure Ltd purchased goods for £210,000 from a British supplier on 1 April 2005. The amount owing on the purchase is payable on 30 July 2005. On 1 May 2005 a forward-exchange contract for the delivery of £210,000 on 30 July 2005 is taken out with Aus Bank. Exchange rates are as follows: What entries are required to record the initial transaction and the forward-exchange contract in accordance with AASB 121 and AASB 139 (rounded to the nearest whole $A) ? A) B) C) D) E) None of the given answers.
E) None of the given answers.

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