7. Assume the following information: 90-day U.S. interest rate: 3.4% 90-day Malaysian interest rate: 3.0% 90-day forward rate of Malaysian ringgit: $0.400 Spot rate of Malaysian ringgit: $0.394 Assume that the Delta Co. in the United States will need 300,000 ringgit in 90 days. It wishes to hedge this payables position. Would it be better off using a forward hedge or a money market hedge? Substantiate your answer with estimated costs for each type of hedge.