On October 1,2023, Jarvis Co. sold inventory to a customer in a foreign country, denominated in 100,000 local currency units (t.CU). Collection is expected in four months. On October 1, 2023, a forward exchange contract was acquired whereby Janvis Co. was to pay 100,000 LCU in four months (on February 1, 2024) and receive $85,500 in U.S. dollars. The spot and forward rates for the LCU were as follows: The company's borrowing rate is 12 percent. The present value factor for one month is .9901 . Jarvis uses the fair value hedge accounting. Discounted present value will be used to assess the value of the forward contract. It closes its books and prepares financial statements on December 31. Required: 1. 25 points) Prepare all journal entries for this sale transaction and the forward contract. Show supporting calculations as needed to obtain credit. 2. (4 points) What is the net benefit (loss) of using the forward contract than leaving the transaction unhedged? Be sure to indicate whether there is a net benefit or a net loss