Hedging Exposed Asset Position with Adjusting Entries On November 3, 2020, Robin Franchises, a U.S. company, sold merchandise to a franchisee in the U.K., at a price of 10,000,000, payable in three months in pounds. To hedge its exposed asset position, on November 3, 2020, Robin entered a forward contract for delivery of 10,000,000 to the broker on February 3, 2021. On February 3, 2021, Robin received payment from the franchisee, and delivered the pounds to the broker to close the forward contract. Robin's accounting year ends December 31. Exchange rates ($/) are as follows: Forward rate for delivery February 3, 2021 $1.4166 Spot rate $ 1.4168 1.4164 November 3, 2020 December 31, 2020 February 3, 2021 1.4163 1.4162 a. Prepare the journal entries Robin Franchises made on November 3, 2020 and February 3, 2021, as well as the required end of year adjusting entry. Debit Credit 0 General Journal Date Description 11/03/20 Exchange loss Investment in forward contract To record sale to franchisee. 12/31/20 0 0 0 0 0 0 0 To restate the receivable. 0 0 0 0 To restate the forward contract. 02/03/21 0 0 0 0 To restate the receivable. 0 0 0 0 To restate the forward sale contract. 0 0 0 0 To record receipt of payment from franchisee. > 0 0 0 0 0 0 Foreign currency To record settlement of the forward sale contract. b. Calculate the cash gain or loss realized by Robin Franchises by hedging compared with not hedging $ 0 > Check