7. if a U.S. firm holds an asset in Great Britain and faces the following scenario: State: Probability State 1: 25% State 2: 50% State 3: 25% Spot Rate $2.20/ $2.00/ $1.80/ P* 3,000 2,500 2,000 $6,600 $5,000 $3,600 p* = Pound sterling price of the asset held by the U.S. firm P = Dollar price of the same asset The CFO runs a regression of the form P=a+bxSte The regression coefficient is estimated as b=7500 Suppose the firm Sells 7,500 forward at the 1-year forward rate F2($/) = $2/. Total value (i.e., net cash flows from hedging plus asset value) in state 1, 2, and 3 respectively will be = O $5,000, $5,000, $5,000. O $5,100, $5,000, $5,100. O $5,100, $5,100, $5,100