2. To hedge the foreign exchange risk relative to the Canadian dollar, Jackson should: a. Buy a...

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2. To hedge the foreign exchange risk relative to the Canadian dollar, Jackson should:

a. Buy a futures contract to exchange $7,083,333 for C$8.5 million.

b. Buy a futures contract to exchange $6,390,977 for C$8.5 million.

c. Sell a futures contract to exchange $6,390,977 for C$8.5 million.

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Ali Khawaja

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