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An american firm, XE inc, intends to export defence software to a firm in Taiwan. The export value is in Taiwan's currency (NT$). The agreement

An american firm, XE inc, intends to export defence software to a firm in Taiwan. The export value is in Taiwan's currency (NT$). The agreement is subject to the U.S authority's approval.

Explain option strategies, based on the Taiwan currency, that the firm at risk can use to hedge its risk exposure.

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