I. A U.S. company (exporter) is going to receive a payment of SFr 1 million in one year. The company wants to hedge away the FX exposure. Current spot rate: $0.80/SFr One-year forward rate: $0.81/SFr Annual interest rate in the U.S.: 1% Annual interest rate in Switzerland: 2% One-year SFr call option has a strike price of $0.83/SFr and an option premium of $0.02/SFr. One-year SFr put option has a strike price of $0.83/SFr and an option premium of $0.01/SFr. (a) How should the U.S. company use the forward market hedge? (b) How should the company use currency options hedge? If the actual spot rate in one year is $0.75/SFr, would the company exercise the option? (c) How should the company use money market hedge