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ParCorp bought inventory from a Canadian company for 100,000 Canadian dollars (C$) on Dec 2, 20X9 with settlement to occur in 60 days. On Dec
ParCorp bought inventory from a Canadian company for 100,000 Canadian dollars (C$) on Dec 2, 20X9 with settlement to occur in 60 days. On Dec 2, 20X9, the forward rate on a 60-day forward contract to buy 100,000 Canadian dollars was 1 C$ = $.94. In no more than 10 words, explain ParCorp's reason for NOT entering into the forward contract. You need not answer in complete sentences.
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