Forward versus Money Market Hedge on Receivables. Assume the following:

90-day U.S. interest rate = 1.0%

90-day Euro interest rate = 2.0%

F_{t. 90-day}(EURUSD) = 1.0850

S_t(EURUSD) = 1.0900

Assume that Sam from the U.S. will receive EUR 5,000,000 in 90 days. Would it be better off using a forward hedge or a money market hedge? Substantiate your answer with estimated revenue for each type of hedge-- Forward hedge and Money market hedge.