How would this be accounted for? (c) Is this accounting treatment transparent? (LO 1, 2) E16-2 (Derivative Transaction) On January I, 2017, Roper Inc agrees to buy 3 kilos of gold at $40,000 ner kilo from Golden Corp on April 1,2017, but does not intend to take delivery of the gold. On the day that the contract was entered into, the fair value of this forward contract was zero. The fair value of the forward subsequently fluctuated as fallows Fair Value of Forward Contract $450 $125 360 $700 Date January 20, 2017 February 6, 2017 February 28, 2017 March 14, 2017 On the settlement date, the spot price of gold is S41,000 per kilo. Assume that Roper complies with IFRS. Instructions (a) Prepare the journal entries for the day the forward contract was signed. (b) Prepare the journal entries to recognize the changes in the fair value of the forward contract. (e) Prepare the journal entries that would be required if Roper settled the contract on a net basis on April 1, 2017. (LO 1,2) E16-3 (Derivative Transaction) Refer to El6-2. Assume the same facts snssot thu tho