Nickel Plains of Canada has purchased 500 , 000 pounds of nickel from Coin Led . At US$6 . 96 payable in 90 days . The current spot rate is 1. 3404 ( C$ /' US$ ) and the 90 - day forward is 1. 3421 . The vice - president of finance at Nickel Plains Suggests that the spot rate in three months' time will be 1. 33.3.3 . Interest rates in Canada are currently 2 percent for 90 days and 1. 6 percent in the United States . a ) Outline the various options available to Nickel Plains to handle its foreign exchange exposure . 60) Make a recommendation