A U.S. firm holds an asset in France and faces the following scenario: Probability Spot rate P* P State 1 25% $ 2.20 per euro 1,500 $ 2,200 State 2 25% $ 2.10 per euro 1,400 $ 1,940 State 3 25% $ 2.00 per euro 1,300 $ 1,500 State 4 25% $ 1.90 per euro 1,200 $ 1,280 In the above table, P* is the euro price of the asset held by the U.S. firm and P is the dollar price of the asset. Required: If the US firm hedges against this exposure using a forward contract, what is the variance of the dollar value of the hedged position?