Considering the calculations you have done so far, you need to attend to a number of import transactions for goods that companies in the United States expressed interest in$.$

The first transaction is for the import of good quality wines from France, since a retail liquor trading chain customer in the United States, for who you have been doing imports over the past five years has a very large order this time. The producer in France informed you that the current cost of the wine that you want to import is and $2,500,000.$ The producer in France will only ship goods in three months$$ time due to seasonal differences but payment will have to be conducted six months from now.

The second transaction is for the export of $3$d printers manufactured in the U$.$S$.$A$.$ The country where it will be exported to is Canada. The payment of CAD $2,500,000$ for the export to Canada will be received twelve months from now.

You consider different transaction hedges, namely forwards, options and money market hedges.

You are provided with the following quotes from your bank, which is an international bank with branches in all the countries:

Forward rates:

Bank applies $360$ day$-$count convention to all currencies $($for this assignment apply $360$ days in all calculations$).$

Annual borrowing and investment rates for your company:

Bank applies $360$ day$-$count convention to all currencies. Explanation $$ e$.$g$.3$ month borrowing rate on $ $=2\mathrm{.}687\%.$ This is the annual borrowing rate for $3$ months. If you only borrow for $3$ months the interest rate is actually $2\mathrm{.}687\%/4=0\mathrm{.}67175\%($always round to $5$ decimals when you do calculations$).$ Furthermore, note that these are the rates at which your company borrows and invests. The rates are not borrowing and investment rates from a bank perspective.