On November 1,2016,Platte Corporation,a calendar-year U.S.Corporation,invested in a speculative contract to purchase 700,000 euros on January 31,2017,from a German brokerage firm.Platte agreed to buy 700,000 euros at a fixed price of $1.46 per euro.The brokerage firm agreed to send 700,000 euros to Platte on January 31,2017.The spot rates for euros are:
Required:
Prepare the journal entries that Platte would record on November 1,December 31,and January 31.

Question

On November 1,2016,Platte Corporation,a calendar-year U.S.Corporation,invested in a speculative contract to purchase 700,000 euros on January 31,2017,from a German brokerage firm.Platte agreed to buy 700,000 euros at a fixed price of $1.46 per euro.The brokerage firm agreed to send 700,000 euros to Platte on January 31,2017.The spot rates for euros are:
  Required:
Prepare the journal entries that Platte would record on November 1,December 31,and January 31.

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The Answer of On November 1,2016,Platte Corporation,a calendar-year U.S.Corporation,invested in a speculative contract to purchase 700,000 euros on January 31,2017,from a German brokerage firm.Platte agreed to buy 700,000 euros at a fixed price of $1.46 per euro.The brokerage firm agreed to send 700,000 euros to Platte on January 31,2017.The spot rates for euros are:
  Required:
Prepare the journal entries that Platte would record on November 1,December 31,and January 31.

On November 1,2016,Platte Corporation,a Calendar-Year U