Boeing just signed a contract to sell a Boeing 737 aircraft to Air France. Air France will be billed 20 million (= 20,000,000) payable in one year. The current spot exchange rate is $1.10/ and the one-year forward rate is $1.20/. The annual interest rate is 5% in the United States and 4% in France. Boeing is concerned with volatile exchange rate between the dollar and the euro and would like to use the forward market hedge (sell forward of 20 million receivable for delivery in one year) to hedge exchange exposure. If ST, the spot exchange rate one year from now (on the forward contract's maturity date), is $1.25/, what is the gain or loss from the forward hedging? Question 31 options: a) Gain = $1,000,000 b) Gain = $2,000,000 c) No gain and no loss d) Loss = $1,000,000 e) Loss = $2,000,000