b) AUK firm has sold good to a US customer and will receive $10 million in six months time. The company Finance Director wishes to lodge against the foreign exchange risk and is considering three methods: i) Using a journal forward contract ii) using a money market hedge iii) Using a currency option Annual interest rates and exchange rates are given below: Spot Rate 1/$1.56251.5635 6monthforward0.0282.802.75centspremium A six month currency option to sell $10 million at an exchange rate of 1/$1.56251.5635 is currently costing $20,000. Required: Advise the company on the next method to use. (10 marks)