The Roderick Company, a U.S. company, borrowed 50 million from a London bank on December 16, 2017. The 50 million were immediately converted to dollars for use in the United States and were scheduled to be repaid with interest of 250,000 on January 15, 2018. To hedge the risk of an unfavorable change in the exchange rate, Roderick purchased 50.25 million for delivery on January 15, 2018. Roderick's accounting period ends on December 31. Exchange rates on various dates follow:

Required 

Prepare the journal entries made by Roderick on December 16, 2017, December 31, 2017, and January 15,2018.

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December 16, 2017 December 31, 2017 Spot rate $1.68 1.66 Forward rate for delivery January 15, 2018 $1.71 1.69 January 15, 2018 1.63