chloride from Morocco for 8,300,000 dirhams, payable in three months. Pfizer's financial executive has collected the following information. Pfizer's cost of capital (WACC) = 12.00%; Spot exchange rate, dirhams/$ = 9.20; Three-month forward rate, dirhams/$ = 9.70; Three-month interest rate for borrowing in United States = 6.00% per annum; Three-month interest rate for borrowing in Morocco = 8.00% per annum; Three-month interest rate for investing in United States = 5.00% per annum; Three-month interest rate for investing in Morocco = 7.00% per annum. How much is the cost of settlement using forward market hedge? 2 3 4 A) 855,670 Dirhams B) $855,670 C) 902,174 Dirhams D) $902,174Pfizer is one of the leading pharmaceutical companies located in New York. The massive efforts of Pfizer's research and development team have led to the approval of Pfizer's COVID-19 vaccine. Pfizer just purchased a shipment of potassium chloride from Morocco for 8,300,000 dirhams, payable in three months. Pfizer's financial executive has collected the following information. Pfizer's cost of capital (WACC) = 12.00%; Spot exchange rate, dirhams/$ = 9.20; Three-month forward rate, dirhams/$ = 9.70; Three-month interest rate for borrowing in United States = 6.00% per annum; Three-month interest rate for borrowing in Morocco = 8.00% per annum; Three-month interest rate for investing in United States = 5.00% per annum; Three-month interest rate for investing in Morocco = 7.00% per annum. 3 4 A) 855,670 Dirhams B) $855,670 C) 902,174 Dirhams D) $902,174