Journal Entries, Income Effect, and Amount of Cash Received LO 6 ASI recently completed the development and installation of an accounting information system for a company located in Rio De Janeiro, Brazil. The company considered that all revenue real- ization criteria were satisfied and accordingly recorded on October 2, 2019, a receivable from the foreign company. The receivable is to be settled in 120 days on February 1 by the delivery of 300,000 real. To hedge against an unfavorable change in the foreign exchange rate, ASI acquired a forward contract to sell 300,000 real on February 1 for $.4730 per real. The following exchange rates were quoted: Date Spot Rate October 2 $.4737 December 31 .4895 February 1 .4950 ASI is a calendar-year company. Forward Rate (Delivery on 2/1) $.4730 .4810 -