Dex Co. has entered into a joint venture with an affiliate to secure access to additional inventory. Under the joint venture agreement, Dex will purchase the output of the venture at prices negotiated on an arm’s-length basis.

Which of the following is(are) required to be disclosed about the related-party transaction?

I. The amount due to the affiliate at the balance sheet date.

II. The dollar amount of the purchases during the year.

a. I only.

b. II only.

c. Both I and II.

d. Neither I nor II.