A: It is March 1. A U.S. company expects to recaive 50 million Japanese yen at the end of July. The September futures price for the yen is currently 0.8800 cents per yen. Therefore, its hedging strategy is as follows: (1) Short four September yen futures contracts on March 1 at a futures price of 0.8800 (2) Close out the contract when the yen arrives at the end of July. Given that the spot price at the and of July is 0.8200 and the September Yen Future price at the end of July Is 0.8250. What is the net exchange rate after hedging? B: What is Cross-hedging? Does it lead to an increase in basis risk