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exchange rate and interest rate dota are shown in the popup window: Note that the imerest rate differentials vary slightly from the forward discounts on

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exchange rate and interest rate dota are shown in the popup window: Note that the imerest rate differentials vary slightly from the forward discounts on the yen because of time differences for the quotes. The apot *118.400/5, for exanple, is a inid-point fargen, On the Japanese money rite. Krystafs waighted average cost of capital is 17%, and the company wishes fo protect the dolar valie of this receivabie. 3.3% premium a. What are the costs and benefits of alternative hedpen? Which would you recommend, and who? b. What is the break-even reinvestrnent rain when comparing forward and noney market altematives? a. How much in U.S. dollars will Krystal receive in 3 monthe without a hedge if the expected spot rate in 3 months is assumed to be V118.40057 (Round to the nearest cent) How much in U.S. dollars will Krystal receive in 3 months with a forward maket hedge? (Round to the nearest cent.) How much in U.S dollars wil Krystal receive in 3 monters with a money markat hedge? (Round to the nearest cant.) How much in U.S. dollars will Krystal recelve in 3 months with an option hedge if the expected spot rate in 3 months is assumed to be grooter than Vi18.000/\$? (Round to the nearest cont) do not guaransee the company of setting for the booked amount, but the Do. in this case. The yilids the higher certain proceeds. (Select from the drop-down menus.) Data table (Click on the following icon in order to copy its contents into a spreadsheet.) (Click on the following icon in order to copy its contents into a spreadsheet.)

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