Exporting Transactions-Journal Entries
Jung Farms Exports Wheat to Germany

question 41

Essay

Exporting transactions-journal entries
Jung Farms exports wheat to Germany. In the space provided below, prepare journal entries to record the following events.
Nov. 15, 2010: Sold wheat to a German restaurant chain at a price of 2 million euros, due in 90 days. The current exchange rate is $0.80 U.S. dollars per euro. (Jung uses the periodic inventory method.)
Dec. 3, 2010: Jung made a year-end adjusting entry relating to the account receivable from the German restaurant chain. The exchange rate at year-end is $0.85 U.S. dollars per Euro.
Feb. 15, 2011: Received a check for $1,640,000 from the InterContinental Bank in full settlement of the receivable from the German restaurant chain. The exchange rate at this date is $0.82 U.S. dollars per euro.
$\begin{array}{|c|l|c|c|}\hline \text {2010}&\text { General Journal }&\quad\quad\quad\quad&\quad\quad\quad\quad\\\hline \text { Nov. } 15 && \\\hline \\\hline \\\hline\\\hline \text { Dec, } 31 & \\\hline \\\hline \\\hline \\\hline 2011 & & & \\\hline \text { Feb. } 15 & \\\hline & \\\hline & \\\hline\\\hline\end{array}$

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Definitions:

ATP

A molecule known as ATP is essential for transferring energy inside cells to fuel metabolism.

Extracellular Matrix

A complex network of proteins and carbohydrates outside of cells that provides structural and biochemical support to surrounding cells.

Integrins

A family of cell adhesion molecules that are involved in the attachment of a cell to the extracellular matrix or other cells, playing critical roles in cell signaling and migration.

ATP

Adenosine triphosphate, a molecule that provides energy for many processes within living cells.