. Bell Company was incorporated in 2015 and engaged in foreign currency transactions. The following exchange rates were quoted on the indicated dates:

		Forward Rate
	Spot Rate	March 1 Delivery
2-Nov-2017	$1.6021	$1.5920
31-Dec-2017	$1.5820	$1.5800
1-Mar-2018	$1.6543

Bell Company's fiscal year-end is December 31.

Instructions

C. Assume that on November 2, 2017 Bell recorded a sale of goods on account for 50,000 to be paid on March 1, 2018. On the same day, Bell entered into a forward contract to sell 50,000 for $1.5920 per pound on March 1, 2018. Prepare the journal entries that would be made by Bell on November 2, December 31, and March 1 to record the sale, adjust the accounts related, and to record the receipt of the payment and the settlement of the forward contract.