Return to question Merit & Family purchased engines from Canada for 24,000 Canadian dollars on March 10 with payment due on June 8. Also, on March 10, Merit acquired a 90-day forward contract to purchase 24,000 Canadian dollars at C$1 = $0.50. The forward contract was acquired to manage Merit & Family's exposed net liability position in Canadian dollars, but it was not designated as a hedge. The spot rates were March 10 June 8 C$1$ 0.49 C$1 = 0.52 Required: Prepare journal entries for Merit & Family to record the purchase of the engines, entries associated with the forward contract, and entries for the payment of the foreign currency payable. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date De Answer is complete but not entirely correct. General Journal Inventory (or Purchases) Accounts payable (CS) 1 March 10 SI 12 2 March 10 13 Foreign currency receivable from exchange broker (CS) Dollars payable to exchange broker () Olo 3 June 08 Foreign currency receivable from exchange broker (CS) Foreign currency transaction gain olo 4 June 08 Foreign currency receivable from exchange broker (CS) Accounts payable (CS) 0 5 June 08 Dollars payable to exchange broker (5) Cash 13 OO 6 June 08 13 Foreign currency units (C$) Foreign currency receivable from exchange broker (C$) OO 7 June 08 Accounts payable (CS) Foreign currency units (CS) 13 slo