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months ( on February 1 , 2 0 2 5 ) and receive $ 8 6 , 0 0 0 in U . S .
months on February and receive $ in US dollars. The spot and forward rates for the local currency units were as follows: tableDateRate Description,Exchange RateOctober Spot Rate,$ local currency unitDecember Spot Rate,$ local currency unitMonth Forward Rate,$ local currency unitFebruary Spot Rate,$ local currency unit Any discount or premium on the forward contract is amortized using the straightline method. Requlred: Assuming this is a cash flow hedge, prepare journal entries for this sales transaction and forward contract.
months on February and receive $ in US dollars. The spot and forward rates for the local currency units were as follows:
tableDateRate Description,Exchange RateOctober Spot Rate,$ local currency unitDecember Spot Rate,$ local currency unitMonth Forward Rate,$ local currency unitFebruary Spot Rate,$ local currency unit
Any discount or premium on the forward contract is amortized using the straightline method.
Requlred:
Assuming this is a cash flow hedge, prepare journal entries for this sales transaction and forward contract.
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