The first financial instrument was a loan. On January 1, thecompany borrowed 5million on a key shareholder at rate of 3%, atthat time when the market rate of interest was 5%. In order toconvince the shareholder to lend the money to the company at a ratelower the the market rate of interest, the company agreed that, in5 years the shareholder would have the option of either acceptingfull repayment of the debt, or receiving 500,000 shares in thecompany. The second financial instrument was a compensatory stockoption plan that was granted to 10 key management positions for thefirst time. The company wanted to provide these employees withadditional compensation and due to financial constraints could notincrease salaries. The plan allowed these management employees topurchase 5,000 options each to purchase shares at $50 each whenthey were actually worth $100. The options were granted on January1, 2017 and were exercisable within a two year period. Totalcompensation was estimated to be $550,000. And the expected periodof benefit was one year beginning on the grant date. No othermanagement employees exercised their options during the year butyou exercised all of your options on December 31st 2017. The finaltransaction. The company decided to enter a contract to purchaseU.S currency (December 15 2017). The company agreed to buy $7million in U.S. currency for $7,070,000 (U.S. $1 = Canadian $1.01)from foreign currency inc. using a 90 day forward contract. Anychanges to the Canadian dollars will be transferred to the company.On December 31, 2017 the new value was U.S. $1 = Canadian $ 1.02.Assume fair value of contract was 50,000$ at December 31, 2017

Required:

B) determine the carrying amount of each statement of financialportion at near end, December 31, 2017