How is this transaction is exposed to exchange rate risk. Is the exchange rate risk likely to be realized given the current economic climate?

You are an importer, importing snack food from Japan into the United States. You have agreed to pay\ 1,000,000 in 90 days after you receive your snacks. The following exchange rates and interest rates are provided: spot rate, 107.42/$; 90-day forward rate, 107.27/$; 90-day USD interest rate, 1.35% p.a. (per annum, or the annual interest rate); and 90-day JPY interest rate, 0.006% p.a. (you should assume that there are 360 days in a year, following bond and money market convention; you can convert an annual rate into a 90-day rate using this equation: 70,90 = 70,360 X 90 360 You are an importer, importing snack food from Japan into the United States. You have agreed to pay\ 1,000,000 in 90 days after you receive your snacks. The following exchange rates and interest rates are provided: spot rate, 107.42/$; 90-day forward rate, 107.27/$; 90-day USD interest rate, 1.35% p.a. (per annum, or the annual interest rate); and 90-day JPY interest rate, 0.006% p.a. (you should assume that there are 360 days in a year, following bond and money market convention; you can convert an annual rate into a 90-day rate using this equation: 70,90 = 70,360 X 90 360