If an Australian company desires to avoid the risk from exchange rate fluctuations, and it will need CAD 200,000 in 90 days to make payment on imports from Canada, it could:

Select one:

a.

obtain a 90-day forward purchase contract on Canadian dollars.

b.

purchase Canadian dollars 90 days from now at the spot rate.

c.

sell Canadian dollars 90 days from now at the spot rate.

d.

obtain a 90-day forward sale contract on Canadian dollars.