On 6/1/X2, an American firm purchased an inventory costing 100,000 Canadian Dollars from a Canadian firm to be paid for on 8/1/X2. Also on 6/1/X2, the American firm entered into a forward contract to purchase 100,000 Canadian dollars for delivery on 8/1/X2. The exchange rates were as follows: Spot Forward 6/1/X2 1 CD = $0.73 1 CD = $0.74 6/30/X2 1 CD = $0.75 1 CD = $0.76 8/1/X2 1 CD = $0.68 1 CD = $0.68 The American firms fiscal year end is 6/30/X2. The changes in the value of the forward contract should be discounted at 12%. What is gain or loss that the American firm can recognize in its income statement on 6/30/X2? On 6/1/X2, an American firm purchased an inventory costing 100,000 Canadian Dollars from a Canadian firm to be paid for on 8/1/X2. Also on 6/1/X2, the American firm entered into a forward contract to purchase 100,000 Canadian dollars for delivery on 8/1/X2. The exchange rates were as follows: Spot Forward 6/1/X2 1 CD = $0.73 1 CD = $0.74 6/30/X2 1 CD = $0.75 1 CD = $0.76 8/1/X2 1 CD = $0.68 1 CD = $0.68 The American firms fiscal year end is 6/30/X2. The changes in the value of the forward contract should be discounted at 12%. What is gain or loss that the American firm can recognize in its income statement on 6/30/X2