On 1 June 20X0, Led Pty Ltd Sold a Machine $\quad$

question 12

Multiple Choice

On 1 June 20X0, Led Pty Ltd sold a machine to an overseas company for ¥3,000,000. Payment was received on 14 July 20X0. Led’s reporting date is 30 June, and its functional currency is A$. The risks and benefits relating to the machine transferred to the purchaser on delivery. The following exchange rate applied:
1 June 20X0 $\quad$$\quad$ ¥1.00 = $\quad$ A$0.20
30 June 20X0 $\quad$$\quad$ ¥1.00 = $\quad$ A$0.18
14 July 20X0 $\quad$$\quad$ ¥1.00 = $\quad$ A$0.19
-What was the foreign currency exchange difference on the transaction recognised by Led in the reporting period ending 30 June 20X1?

• A)$30,000 FC exchange difference revenue
• B)$30,000 FC exchange difference expense
• C)$60,000 FC exchange difference revenue
• D)$60,000 FC exchange difference expense

---

Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.