Permian Company engages in many foreign currency transactions.

Company policy is to hedge exposure to exchange gains and losses

using forward contracts. On July $1,$ Permian bought merchandise from

a Canadian company for $120,000$ Canadian dollars, payable on

September $30.$ Exchange rates of $$1$ for Canadian dollars were as

follows:Required:$1.$Did Permian Company buy or sell

Canadian dollars for future delivery?$2.$According to company policy, how many

U$.$S$.$ dollars did Permian pay for this purchase?$$Round

your answer to the nearest dollar.