On December 1, 2017, Ringling Company (a U.S.-based company) entered into a three-month forward contract to purchase 1,070,000 pesos on March 1, 2018. The following U.S. dollar per peso exchange rates apply: Date December 1, 2017 December 31, 2017 March 1, 2018 Spot Rate $0.007 0.009 0.013 Forward Rate (to March 1, 2018) $0.010 0.012 N/A Ringling's incremental borrowing rate is 12 percent. The present value factor for two months at an annual interest rate of 12 percent (1 percent per month) is 0.9803. Which of the following correctly describes the manner in which Ringling Company will report the forward contract on its December 31, 2017, balance sheet? Multiple Choice As an asset in the amount of $2.098. Allah. In the man ein Multiple Choice As an asset in the amount of $2,098. As a liability in the amount of $1,049. As an asset in the amount of $3,147. As a liability in the amount of $3,147. Prev 1 of 14