On October 1, 2017, Sharp Company (based in Denver, Colorado) entered into a forward contract to sell 200,000 rubles in four months on January 31, 2018) and receive $98,000 in U.S. dollars. Exchange rates for the ruble follow Date October 1, 2017 December 31, 2017 anuary 31, 2018 Forward Rate (to January 31, 2018) S 0.49 0.51 Spot Rate S0.45 N/A Sharp's incremental borrowing rate is 12 percent. The present value factor for one month at an annual interest rate of 12 percent (1 percent per month) is 0.9901. Sharp must close its books and prepare financial statements on December 31 a. Prepare journal entries, assuming that Sharp entered into the forward contract as a fair value hedge of a 200,000 ruble receivable b. Prepare journal entries, assuming that Sharp entered into the forward contract as a fair value hedge of a firm commitment related to arising from a sale made on October 1, 2017. Include entries for both the sale and the forward contract. a 200,000 ruble sale that will be made on January 31, 2018. Include entries for both the firm commitment and the forward contract. The fair value of the firm commitment is measured by referring to changes in the forward rate