A XSP company own a 1,000,000 payable due in one year. Using a money market hedge, detail a strategy that will eliminate exchange rate risk.( provide details )

1-year rates on interest Dollar Euro Yen Borrowing 4.50% 6.00% 1.00% Lending 4.00% 5.25% 0.75% Spot exchange rates 1-year Forward Rates 1.25$/ 1.2262$/ 1.00$/yen 1.03$/yen