Hedge of an Identifiable Foreign Currency Commitment; Intervening Balance Sheet Date On October 1, 19X1, Dalmatian, Inc., a U.S. distributor of fire protection equipment and supplies, signed an agreement to purchase a quantity of fire protection supplies from a foreign supplier for 10, 000 foreign currency units. The spot rate for the foreign currency unit on October 1, 19X1, was $.35. The delivery date is January 15, 19X2, with payment due on February 1, 19X2. Dalmatian prepares financial statements each December 31. On the commitment date (October 1, 19X1), Dalmatian entered into a forward exchange contract to receive 10, 000 foreign currency units on February 1, 19X2, at a current forward rate of $40. Subsequent spot rates for the foreign currency unit were REQUIRED Assuming the forward exchange contract is a hedge of an identifiable foreign currency commitment, prepare entries to be recorded by Dalmatian, Inc., on October 1, 19X1, December 31, 19X1, January 15, 19X2, and February 1, 19X2. Dalmatian amortizes any premium or discount on the forward exchange contract