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Connect Homework Help Brandlin Company of Anaheim, California, sells parts to a foreign customer on December 1, 2017 with payment of 21000 korunas to be

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Connect Homework Help Brandlin Company of Anaheim, California, sells parts to a foreign customer on December 1, 2017 with payment of 21000 korunas to be received on March 1, 2018. Brandin enters into a forward contract on December 1, 2017, to sell 21000 korunas on March 1, 2013 Relevant exchange rates for the koruna on various dates are as follows: Date December 1, 2017 December 31, 2017 March 1, 2018 Spot Rate $ 3.90 4.00 4.15 Forward Rate (to March 1, 2015) 5 3.925 4.100 N/A Brandlin's incremental borrowing rate is 18 percent. The present value factor for two months at an annual interest rate of 18 percent (15 percent per month) is 0.9707. Brandlin must close its books and prepare financial statements at December 31 -1. Assuming that Brandlin designates the forward contract as a cash flow hedge of a foreign currency receivable and recognizes any premium or discount using the straight-line method, prepare journal entries for these transactions in US dollars. a-2. What is the impact on 2017 net income? 0-3. What is the impact on 2018 net income? 2-4. What is the impact on net income over the two accounting periods? b-1. Assuming that Brandlin designates the forward contract as a fair value hedge of a foreign currency receivable, prepare journal entries for these transactions in U.S. dollars. b-2 What is the impact on 2017 net income? b-3. What is the impact on 2018 net income? b-4. What is the impact on net income over the two accounting periods? Complete this question by entering your answers in the tabs below Reg AI Req A2 to A4 Req B1 Reg 2 to Assuming that Brandlin designates the forward contract as a fair value hedge of a foreign currency receivable par journal entries those transactions in U.S. dollars. (If no entry is regalred for a transaction/event, oled "No journal entry required in the first com field. Do not round Intermediate calculations, Round your relative to z dedmal place. View transaction list Journal entry worksheet Nexd

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