On June 24, 2021, PC Inc. purchased a call option for $1,350. The call option gives PC Inc. the right to purchase 1,560 common shares of Champion Incorporated for $21. On September 8, 2021, PC Inc. settles the call option in cash. On September 8, 2021, the common shares of Champion Incorporated are trading at $23 each. On September 8, 2021, the fair value of the call option purchased by PC Inc. is $3,300. The entry to record the settlement of the option on the books of PC Inc. is: Cash 3,120 Derivatives - financial assets/liabilities 3,120 Cash 3,120 Gain or loss on derivatives 1.770 Cash 3,120 Derivatives - financial assets/liabilities 3,120 Cash 3,120 Gain or loss on derivatives 1,770 Derivatives - financial assets/liabilities 1,350 Derivatives - financial assets/liabilities 1,350 Cash 1,770 Gain or loss on derivatives 3,120 Cash 3,120 Gain or loss on derivatives 3,120