On October 1, 2020, Mertag Company (a U.S.-based company) receives an order from a customer in Poland to deliver goods on January 31, 2021, for a price of 1,012,000 Polish zloty (PLN). Mertag enters Into a forward contract on October 1, 2020, to sell PLN 1,012,000 in four months (on January 31, 2021). U.S. dollar-Polish zloty exchange rates are as follows: Forward Rate Date Spot Rate (to January 31, 2021) October 1, 2020 December 31, 2020 January 31, 2021 0.30 N/A $ 0.25 0.28 $ 0.29 0.32 Mertag designates the forward contract as a fair value hedge of a foreign currency firm commitment. The fair value of the firm commitment is measured by referring to changes in the forward rate, and therefore, forward points are Included in assessing hedge effectiveness. Mertag must close its books and prepare financial statements on December 31. Discounting to present value can be ignored. a. Prepare journal entries for the foreign currency forward contract, foreign currency firm commitment, and export b. Determine the net benefit, if any, realized by Mertag from entering Into the forward contract. sale. Prepare journal entries for the foreign currency forward contract, foreign currency firm commitment, and export sale. round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in th account field.) Date General Journal Debit Credit 10/01/2020 No journal entry required NO 1 2 10/01/2020 No journal entry required 3 12/31/2020 Foreign exchange gain or loss Forward contract 4 12/31/2020 Firm commitment Loss on firm comittment 5 01/31/2021 Forward contract Foreign exchange gain or loss OO Oo 6 01/31/2021 Foreign exchange gain or loss Firm commitment 7 01/31/2021 Foreign currency (PLN) Sales 8 01/31/2021 Cash Foreign currency (PLN) 9 01/31/2021 Sales Firm commitment O Determine the net benefit, if any, realized by Mertag from entering into the forward contract. (Do not round intermediate calculations. Negative amount should be entered with a minus sign.) Net benefit