Which situation below accurately describes an instance of "hedge accounting "?

Select one:

a. A company hedging a forecasted purchase of inventory recognizes changes in the value of the inventory in other comprehensive income .

b. A company hedges its investment in a debt security classified as trading . Because of the hedge, changes in the value of the security are reported in other comprehensive income .

C. A company hedges its inventory, normally carried at cost. Because of the hedge, changes in the value of the inventory are reported in income .

d. A company hedges its inventory, normally carried at cost. Because of the hedge, changes in the value of the inventory are reported in other comprehensive income and