What is the gain/(loss) to be recognized in the income statement for 20x4 under IFRS 9?

(a) $800,000

(b) 0

(c) $(100,000)

(d) $(200,000)

(e) $100,000 On 1 October 20x4, SingCo committed to purchase machinery for FC 10,000,000, which would be delivered on 1 February 20x5. At the same time, SingCo entered into a forward purchase contract to buy FC 10,000,000, which would mature on 1 February 20x5. The forward purchase contract was designated as a hedge of the fixed asset foreign currency purchase commitment. Time value of the forward contract was excluded in determining hedge effectiveness. Details are as follows:

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1 October 20x4 31 December 20x4 FC 10,000,000 1.23 1.25 Notional amount of forward purchase contract. Spot rate ($: FC 1)..... Forward rate for 1 Feb 20x5 delivery ($: FC 1). Ignore discounting. SingCo's functional currency is the dollar. The financial year-end is 31 December. 1 February 20x5 1.32 1.33 1.28 1.28