Based on past experience, Maas Corporation (a U.S.-based,company) expects to purchase raw materials from a foreign supplier at a cost of 1,300,000 francs on March 15, 2024. To hedge this forccasted transaction, on December 15, 2023,1 the company acauires a call option to purchase 1,300,000 francs in three months. Maas selects a strike price of $0.72 per franc when the 5p0t rate is $0.72 and pays a premium of $0.002 per franc. The spot rate increases to $0.724 at December 31,2023 , causing the fair value of the option to increase to $6,500. By March 15,2024, when the raw materlals are purchased, the spot rate has climbed to $0.74, resutting in a fair value for the option of $26,000. The raw materlats are used in assembling finlshed products, which are sold by December 31,2024 . when Maas prepares its annual financial statements. Required: a. Prepare all journal entries for the option hedge of a forecasted transaction and for the purchase of raw materlals. b. What is the overall impact on net income over the two accounting periods? c. What is the net cash outilow to acquire the raw materials? Complete this question by entering your answers in the tabs below