ACCOUNTING ENTRIES IN FUNCTIONAL CURRENCY PROBLEM 2: INTEREST RATE FLOOR (RECEIVE)
F-1 On purchase of interest rate floor trade: (T-1 @ FX Rate: 1.4597)
F-2 On accounting for premium on purchase of interest rate floor trade: (T-2 @ FX Rate: 1.4597)
F-3 On accounting for premium paid: (T-3 @ FX Rate: 1.4726)
F-4 FX gain/loss:
F-5 On accounting of interest income on interest rate floor: (T-4 @ FX Rate: 1.5199)
F-6 On valuation of interest rate floor as on date: (T-5 @ FX Rate: 1.5800)
F-7 On accounting of interest accrued on valuation date: (T-6 @ FX Rate: 1.5800)
F-8 On reversal of interest accrued on valuation date: (T-7 @ FX Rate: 1.5800)
F-9 On accounting of interest income on interest ...
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