Hills Company purchased inventory from a foreign supplier on November 30, 2013 for 80,000 local currency units (LCU). Payment was made to the supplier on January 23, 2014. The exchange rates for 1 LCU are:
November 30, 2013 at $0.50
December 31st, 2013 at $0.55
January 23rd, 2014 at $0.47
Prepare all journal entries in connection with this purchase of inventory.