Exercise (6) Assume that on December 1, 2020, a U.S. firm purchased 100 units of inventory from a French firm for 500,000 euros to be paid on March 1, 2021. The firm's fiscal year-end is December 31. Assume further that the U.S. firm did not engage in any form of hedging activity. The spot rates for euros ($/euro) at various times are as follow: Spot Rate Transaction dateDecember 1, 2020 Balance sheet dateDecember 31, 2020 Settlement dateMarch 1, 2021 $1.25 1.28 1.27