Requirement D$.$

$1.$ Record the gain or loss on the foreign currency euro call option with a premium of $$0\mathrm{.}050$ per Euro at a strike price of $$1\mathrm{.}25$ and an exercise date of October $15.$

$2.$ Record the gain or loss on the foreign currency euro call option with a premium of $$0\mathrm{.}060.$

$3.$ Record the transfer of exchange gain or loss to firm commitment.

$4.$ Record the entry for changes in the fair value of Euro call option.

$5.$ Record the transfer of exchange gain or loss to firm commitment.

$6.$ Record purchase of foreign currency for settling the accounts payable.

$7.$ Record purchase of inventory from the German supplier.

$8.$ Record the transfer of inventory to cost of goods sold.

$9.$ Record the adjustment of cost of goods sold to the extent of firm commitment.