Gaw Produce Company Purchased Inventory from a Japanese Company on December

Essay

Gaw Produce Company purchased inventory from a Japanese company on December 18, 2013. Payment of 4,000,000 yen (×) was due on January 18, 2014. Exchange rates between the dollar and the yen were as follows: $\begin{array}{ll}\text { Date } & \begin{array}{c}\text { Exchange } \\\text { Rate }\end{array} \\ 18,2013& ¥ 1=\$ .0080 \\\text { December } 31,2013 & ¥ 1=\$ .0082 \\\text { January } 18,2014 & ¥ 1=\$ .0083\end{array}$ Required:
Prepare all journal entries for Gaw Produce Co. in connection with the purchase and payment.