Acme Corporation, a U.S.-based importer of beer and wine, purchased 1,000 cases of Oktoberfest-style beer from Coyote for 50,000 euros before purchasing the company. Relevant US dollar exchange rates for the euro are as follows: Date Spot Rate Forward Rate to October 15 "Call Option Premium for October 15 (strike price $1.10)" August 15 $1.10 $1.16 $0.05 September 30 1.15 1.19 0.06 October 15 1.18 1.18 (spot) N/A; Journal Entries (Unhedged) Debit Credit August 15 Inventory Accounts Payable September 30 Inventory Accounts Payable October 15 Inventory Accounts Payable Date of Inventory Sale Accounts Payable