1. It is the third week in April. British Aerospace (BA) expects to receive 8 million Mexican pesos (P) from a Mexican customer in 60 days, which happens to be the same day in June that London International Financial Futures Exchange futures contracts expire. The Mexican peso futures price for June delivery is 0.1400/P, with a contract size of P500,000. The current spot exchange rate is 0.1450/P. a. How many futures contracts should BA buy or sell in order to hedge its forward exposure? b. What is BA's net profit or loss on the futures contract if the spot rate in 60 days is 0.1200/P? c. What is the hedge quality of this futures hedge