Pumped Up Company purchased equipment from Switzerland for 168.000 francs on December 16, 20X7 with payment due on February 14, 20x8 on December 16, 20X7, Pumped Up also acquired a 60-clay forward contract to purchase francs ot a forward rate of SFr 1 = $0.45. On December 31, 20X7 the forward rate for an exchange on February 14, 20x8 is SFr 1 = $0.475. The spot rates were December 16, 20X/ December 31, 2007 February 14, 20XR SF 1 SEP 1 SF 1 $ 0.46 0.41 0.47 Part II: Now assume the forward contract is designated as a cash flow hedge of the variability of the future cash flows from the foreign currency account payable. The company uses the forward exchange rate to assess effectiveness Required: Prepare Journal entries for Pumped Up to record the purchase of equipment, all entries associated with the forward contract the adjusting and reclassification entries on December 31, 20X7 and entries to record the revaluations and payment on February 14 20XB. (if no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list Journal entry worksheet ..... Record an amount to reclassify the comprehensive income to fully offset the foreign currency transaction loss on the revaluation of the foreign currency denominated account payable. Note: Enter debits before credits General Journal Debit Credit Date Dec 31, 20X7 Record entry Clear entry View general Journal View transaction list Journal entry worksheet 11 Record the revaluation of the foreign currency receivable to the current equivalent U.S. dollar value and record the effective portion of the change into other comprehensive income in accordance with ASC 815. Note: Enter debits before credits Date General Journal Debit Credit Feb. 14, 20x8 Record entry Clear entry View general Journal View transaction list Journal entry worksheet ... Record the receipt of Swiss francs from the exchange broker. Note: Enter debits before credits General Journal Debit Credit Date Feb. 14, 20X8 Record entry Clear entry View general journal View transaction list Journal entry worksheet 10 ..... Record the settlement of the foreign currency payable. Note: Enter debits before credits Date General Journal Debit Credit Feb. 14, 20X8 Record entry Clear entry View general Journal