< > Learning Activities Class Resources - FIN390-SP20-25436 s3.us-east-1.amazonaws.com https://s3.us-east-1.amazonaws.com/blackboard.learn.xythos.prod/5a78bae3421... construction firm. The U.S. firm will be paid in euros in three months. c) A manufacturer of photographic film is concerned about risking costs. Course Hero 3. Jordan Enterprises plans to issue $120,000,000 of 20-year semi-annual bonds in September to help finance a new factory. It is January, and the current cost of debt to the company is 9 percent. However, the firm's financial manager is concerned that interest rates will climb by 1.5 percent in a current high inflation environment. a) What would be the outcome if interest rates climb by 1.5 percent and Jordan did not hedge its position? Intermediate Financial Management FIN 390 - Assignment - Spring 2020 b) If Jordan hedges the bond issue, it will use the Treasury bond ($100,000) futures contracts that are currently trading at 129-2. What would be the outcome if Jordan hedges its position and interest rates climb by 1.5 percent on the Treasury bond as well? 4. ABC Company and XYZ Company need to raise funds to pay for capital improvements at their 1 +