4) Trkstar A.., a Turkish company, produces satellite equipment. Trkstar company made a sale of 4.000.000 to a Spanish company and gave 3 months maturity. A decrease in Euro value is expected due to the Covid-19 Pandemic. Therefore, the company wants to be protected from exchange rate risk. Trkstar aims to hedge against currency risk by using the following market information. Spot Rate TL8.9000 / 3 Month Forward Rate TL9.1500 / Euro Interest Rate (deposit) 1% (annually) Euro Interest Rate (Debt) 2% (annual) TL Interest Rate (deposit) 15% (annual)

TL Interest Rate (Debt) 17% (annual) Firm's Weighted Average Capital Cost 18% (annually) We are also interested in a put option on Euro with a maturity of 3 months and an agreement price of K = TL 9.13 / . The premium for this option is given as TL0.005 / . What is wanted: Evaluate which is the best option by evaluating the forward market, money market and option alternatives.