Ignore the answer there and show me an explained answer

International Financial Management Test #3 (70 pts) 1) (7 pts) Assume the following information: U.S. deposit rate for 1 year U.S. borrowing rate for 1 year Euro deposit rate for 1 year Euro borrowing rate for 1 year Euro forward rate for 1 year 2.0% 4.5% 1.2% 3.5% $1.26/1EUR $1.25/1EUR Euro spot rate Your Company sold jet engine components for 2,000,000 Euros and will receive those Euros in 1 year A) What is the approximate value of the receivables in US dollars in 1 year if your company executes a money 2,000,0 market hedge? 2.415.438.94- 24 63,7B1T Money Market Hedge in uS dollars 2.4376812 B) What is the approximate value of receivables in US dollars in 1 year if your company executes a forward hedge? Forward hedge in US dollars