On November 1, 2020, Cheng Company (a US. based company) forecasts the purchase of goods from a foreign supplier for 350,000 yuon Cheng expects to receive the goods on Aprit 30, 2021, ond make immediate payment On November 1, 2020, Cheng enters into a six-month forward contract to buy 350,000 yuan. The company properly designates the forward contract as a cash flow hedge of a forecasted foreign currency transaction. Forward points are excluded in assessing hedge effectiveness and are amortized to net income using a straight-line method on a monthly basis over the life of the contract. The following US dollar-Yuan exchange rates apply As expected, Cheng recelves goods from the forelgn supplier on Aprit 30, 2021, and pays, 350,000 yuan immediately. Cheng sells the imported goods in the local market in May 2021 a. Prepare all joutnal entries, including December 31 adjusting entries, to record the foreign currency forward contract and import purchase b. What is the impact on net income in 2020 ? c. What is the impect on net income in 2021 ? Complete this question by entering your answers in the tabs below. Prepare all journal entries, induding December 3t adjusting entries, to record the foreign currency forward contract and import parchase, (Do not round intermediate calculations. If no entry is required for a transactionvevent, select "No journal entry required" in the first account fiedd.) As expected, Cheng receives goods from the foreign supplier on April 30, 2021, and pays 350,000 yuan immediately Cheng sells the mported goods in the local market in May 2021. a. Prepare all journal entries, including December 31 adjusting entries, to record the foreign currency forward contract and import purchase. b. What is the impact on net income in 2020 ? c. What is the impact on net income in 2021 ? Answer is not complete. Complete this question by entering your answers in the tabs below. b. What is the impact on net income in 2020 ? c. What is the impact on net incorne in 2021? (Neopative amounts should be entered with a minus sign. Do not round intermediate calculations.)