Assume our U$.$S$.-$based company$$s functional currency is the $US and it enters into a $$firm commitment$$ with a Portugal$-$based retailer on November $15,2018.$ The firm commitment requires our company to sell $30,000$ units of an inventory item costing $10$ each to the Portuguese company. Our company is contractually committed to ship the inventory $($i$.$e$.,$ title transfers$)$ on February $15,2019,$ with payment in Euros on the same date. Our company does recurring business with the Portuguese company, and the firm commitment includes significant monetary penalties for nonperformance. Also assume, on November $15,2018,$ our company enters into a contract with a foreign currency exchange broker to sell Euros $($for settlement on February $15,2019)$ to mitigate the risk of exchange rate fluctuation. This derivative qualifies as a fair value hedge. The relevant exchange rates and related balances for the period from November $15,2018,$ to February $15,2019,$ are as follows:

Derivative$$ForwardDateSpot Rate

$($$US $=1)$Forward Ratea

$($$US $=1)$FVbChange in FVNovember $15,20181\mathrm{.}441\mathrm{.}39$December $31,20181\mathrm{.}391\mathrm{.}37$$$6,000$$$6,000$February $15,20191\mathrm{.}291\mathrm{.}2930,00024,000$

a For settlement on February $15,2019$

b Ignore discounting in the computation of fair values.

On November $15,2018,$ what amount should be recognized in $$Sales$?$

Select one:

a$.$

$$0$

b$.$

$$387,000$

c$.$

$$417,000$

d$.$

$$432,000$