On November 10, 2017 Goofy Ltd buys some inventory from a French supplier to be paid for in Euros () two months later on January 10, 2018. Payment was to be for 125,000. The spot rates for the 1 are as follows:

November 10, 2017, transaction date, spot rate was $1.07/ 1

December 31, 2017 balance date, spot rate was $1.09/1

January 10, 2018, settlement date, spot rate was $1.05/1.

If Goofy Ltd does not hedge the transaction, please demonstrate what journal entries Goofy Ltd would have to prepare on the transaction date, balance date and settlement date?