$$On $12/1/21,$ Northridge Co$.,$ a U$.$S$.$ machine manufacturer, sells

machines to

York Co$.,$ a British company, for $100,000$ British Pound $()$ on

credit.

Payment is due in $90$ days $($March $1,2022).$ The current exchange

rate is $1$

$=$ $$1\mathrm{.}40$ on $12/1/21.$ Northridge Co$.$ signs a $90-$day forward contract

with

Wells Fargo Bank to deliver $100,000$ and the $90-$day forward rate is

$1=$

$$1\mathrm{.}30$ on $12/1/21.$

$$ On Northridge Co$$s fiscal year ends, $12/31/21,$ spot rate is $1=$

$$1\mathrm{.}50$ and

available forward rate to March $1,2022$ is $1=$ $$1\mathrm{.}45.$ On $3/1/22,$

the original

receivable and the forward contract come due. The exchange rate is

$1=$

$$1\mathrm{.}20$ on $3/1/22.$

$$ Using Cash Flow Hedge method, prepare Northridge Co$.$s all

journal

entries for $12/1/21,12/31/21,$ and $3/1/22.$