Craylon, Inc., based in Washington, exports products to a Geiman firm and will receive payment of $E200,000$ in three months. On June $1,$ the spot rate of the euro was $$1\mathrm{.}12.$ The spot rate of the euro on September $1$ will be $$1\mathrm{.}00,$ and the company predicted this depreciation.

a$.$ On June $1,$ Graydon negotiated a forward contract with a bank to sell $E200,000$ forward with a forward rate of $$1\mathrm{.}12$ in three months. Graydon will receive $ the euros received on September $1.q,$ for

b$.$ On June $1,$ if the company does nothing for hedging, it will receive $ euros received on September $1.q,$ for the

c$.$ On June $1,$ Graydon purchased options $($call or put?$)$ with a strike price of $$\frac{1\mathrm{.}351}{?}$ and a premium of $$.\frac{03}{6}.$ Graydon will receive $ $q,$ for the euros. Assume premium is paid when option is exercised