Essay
On July 1, 20X7, Kim Entity (KE), a Korean importer, with the South Korean Won as its functional and presentation currency, buys inventory from a Brazilian exporter, Waldir Entity (WE), on credit at a price of 40,000 Brazilian real to be paid on August 15. The spot exchange rate is BRL1= KRW300 at the transaction date.
-What is the journal entry on the settlement day, August 15, assuming the spot exchange rate is BRL1= KRW310?
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On August 15, KE accounts for the settle...View Answer
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