On July 5, 2020, Alpha Corp. purchased a call option for $ 2,400, giving it the right to buy 1,000 shares of Omega Corp. for $ 20 per share. Alpha recorded purchase and made no adjustment until August 18. On August 18, when the option value is $ 12,000, Alpha settles the option for cash. What would be the entry on Alpha's books to record the settlement? Assume Alpha did NOT designate the call option as a hedging instrument. Select 1 correct answer(s) | Dr. Loss on derivative 12,000 Cr. Derivatives 12,000 Dr. Cash 9,600 Dr. Option 2,400 Cr. Cash 12,000 Dr. Cash 12,000 Cr. Gain on derivatives 12,000 Dr. Cash 12,000 Cr. Option 2,400 Cr Gain on derivatives 9,600