On August the Green and Grey Company invest in equity securities costing $
and classifies them as AFS investments. On September the value of the equity
securities falls to $ and Green and Grey pay $ for March put options with
a strike price of $ as a fair value hedge of its equity investment. On December
the companys fiscal year end, the options have a fair value of $ and the securities
have a fair value of $ Green and Grey sells the options on March for $
when the fair value of the securities is $ and sells the securities for $ on
March
Prepare the journal entries made by Green and Grey Company on
August
September
December
March
March
