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A company is expecting to receive $5 million in foreign currency in six months. The company is concerned about the foreign currency exchange rate risk

A company is expecting to receive $5 million in foreign currency in six months. The company is concerned about the foreign currency exchange rate risk and wants to hedge its exposure. The current exchange rate is 1.5 foreign currency units to 1 US dollar. The company can use a currency forward contract to hedge its exposure. What is the notional amount of the currency forward contract that the company needs to enter into in order to fully hedge its exposure to foreign currency risk?

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