On August 1, a U.S. company enters into a forward contract, in which it agrees to buy 1,000,000 euros from a bank at a rate of $1.115 on December 1. Changes in the value of the forward contract will be reported in other comprehensive income on the balance sheet in which one of the following situations? (Points : 8)

The U.S. company has receivables denominated in euros, with payment to be received on December 1.

The U.S. company sold merchandise to a customer in Belgium on August 1, and expects payment of 1,000,000 euros on December 1.

The U.S. company plans to sell merchandise to a customer in Belgium on August 1, with payment of 1,000,000 euros expected on December 1.

A or C.

None of the above.