WE WPUNJ WPConnect Portal LTI Launch × M Question 7 - Ch.9 Homework ✓ + Help ezto.mheducation.com/ext/map/index.html?_con=con&external_browser=0&launchUrl=https%253A%252F%252Fconnect.mheducation.com%252Fconnect%... Q N CPA Portal ← ← C Ch.9 Homework Assignment i Saved 7 Icebreaker Company (a U.S.-based company) purchases materials from a foreign supplier on December 1, 2023, with payment of 34,000 dinars to be made on March 1, 2024. The materials are consumed immediately and recognized as cost of goods sold at the date of purchase. On December 1, 2023, Icebreaker enters into a forward contract to purchase 34,000 dinars on March 1, 2024. Relevant exchange rates for the dinar on various dates are as follows: 10 points Date eBook Print December 1, 2023 December 31, 2023 March 1, 2024 Required: Spot Rate $ 5.20 Forward Rate (to March 1, 2024) $ 5.275 5.30 5.45 5.400 N/A a-1. Assuming that Icebreaker designates the forward contract as a cash flow hedge of a foreign currency payable, prepare journal entries for the import purchase and foreign currency forward contract in U.S. dollars. a-2. What is the impact on 2023 net income? a-3. What is the impact on 2024 net income? References a-4. What is the impact on net income over the two accounting periods? b-1. Assuming that Icebreaker designates the forward contract as a fair value hedge of a foreign currency payable, prepare journal entries for the import purchase and foreign currency forward contract in U.S. dollars. b-2. What is the impact on net income in 2023 and in 2024? b-3. What is the impact on net income over the two accounting periods? Mc Graw Hill Complete this question by entering your answers in the tabs below. Req A1 Req A2 to A4 Req B1 Req B2 to B3 Assuming that Icebreaker designates the forward contract as a cash flow hedge of a foreign currency payable, prepare journal entries for the import purchase and foreign currency forward contract in U.S. dollars. Note: If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations. View transaction list View journal entry worksheet No 1 Date 12/01/2023 General Journal Debit Credit Accounts Receivable (dinars) Sales 176,800 176,800 2 12/01/2023 No Journal Entry Required 3 12/31/2023 Accounts Payable (dinars) Foreign Exchange Gain or Loss 4 12/31/2023 Other Comprehensive Income Show less▲ < Prev 7 of 10 Next > EJ Save & Exit Submit M > ...