A U$.$S$.$ company uses forward contracts to hedge its euro$-$denominated purchases of merchandise imported from an Irish supplier. Assume the spot rate is $$\frac{1\mathrm{.}16}{}$ and the forward rate is $$1\mathrm{.}165$ on the date of purchasing the forward contract. The spot rate is $$1\mathrm{.}18$ when the forward contract comes due, and the company pays the supplier.

Which statement is true?

A$.$ The loss on the forward and the gain on the payable to the supplier appear on the company's income statement, with a net positive impact on income.

B$.$ The gain on the forward and the loss on the payable to the supplier appear on the company's income statement, with a net negative effect on income.

C$.$ The loss on the forward and the gain on the payable to the supplier are reported in the company's OCI, with a net positive impact on OCI.

D$.$ The loss on the forward and the gain on the payable to the supplier are reported in the company's OCl, with no net impact on OCI.