Pacifico Company, a U$.$S$.-$based importer of beer and wine, purchased $2,000$ cases of Oktoberfest$-$style beer from a German supplier for $620,000$ euros. Relevant U$.$S$.$ dollar exchange rates for the euro are as follows:

Date Spot Rate Forward Rate to October $15$ Call Option Premium for October $15($strike price $$1\mathrm{.}55)$

August $15$ $ $1\mathrm{.}55$ $ $1\mathrm{.}61$ $ $0\mathrm{.}05$

September $301\mathrm{.}601\mathrm{.}640\mathrm{.}06$

October $151\mathrm{.}631\mathrm{.}63($spot$)$ N$/$A

The company closes its books and prepares third$-$quarter financial statements on September $30.$

Required:

Assume that the beer arrived on August $15,$ and the company made payment on October $15.$ There was no attempt to hedge the exposure to foreign exchange risk. Prepare journal entries to account for this import purchase.