MESSAGE MY INSTRUCTOR FULL SCREEN PRINTER VERSION BACK NEXT Exercise 16-2 (Part Level Submission) On January 1, 2017, Pharoah Inc. agrees to buy 3 kilos of gold at $47,000 per kilo from Golden Corp on April 1, 017, but does not intend to take delivery of the gold. On the day that the contract was entered into, the fair value of this forward contract was zero. The fair value of the forward subsequently fluctuated as follows: DateFair Value of Forward Contract January 20, 2017 February 6, 2017 February 28, 2017 March 14, 2017 $466 $132 $360 $810 IFRS. On the settlement date, the spot price of gold is $48,000 per kilo. Assume that Pharoah complies with Your answer is correct. Prepare the journal entry for the day the forward contract was signed. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select No Entry for the account tities and enter O for the amounts.) Debit Credit Date Account Titles and Explanation anuary 1, 2017 No Entry No Entry v (c) Prepare the journal entry that would be required if Pharoah settled the contract on net basis on April 1, 2017 (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit April 1, 2017 SHOW LIST OF ACCOUNTS By accessing this Question Assistance, you will learn while you earn points based on the Point Potential Policy set uaur instructor