hortly after Aragorn, son of Arathorn, became king of the reunited Kingdom of Gondor and Arnor...
hortly after Aragorn, son of Arathorn, became king of the reunited Kingdom of Gondor and Arnor (KGA), he paid the riders of Rohan 10,000 castar (₡) for their mercenary service (which is a factor rental) rendered in the siege of Minas Tirith. Please write the entries for this transaction for the balance of payments accounts of the KGA.
Homework Answers
Every transaction in Balance of payment has one debit record and one credit record.
Payment of 10,000 for services will be recorded on the debit side of balance of payment.
While, the mercenary services will be recorded on the credit side of balance of payment with the same amount.
Since, every entry of BOP has two records. The sum of all transactions of BOP is zero.
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