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A US Corporation has just made a bid on a major project located in UK. If the project is awarded, the company will receive a

A US Corporation has just made a bid on a major project located in UK. If the project is awarded, the company will receive a sizeable down payment in pound upfront. However, it wont find out for 60 days whether it has won the contract. The best way to protect against currency risk on its bid is for the firm to

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buy a pound call option

sell a pound futures contract

buy a pound put option

buy a pound futures contract

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