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Question 31 2 pts You have a 25 million euro receivable from Germany in one year. Your CEO says she thinks the euro will strengthen.
Question 31 2 pts You have a 25 million euro receivable from Germany in one year. Your CEO says she thinks the euro will strengthen. She is a bit uncertain, however, so instructs you to create a strategy where she can benefit from the euro appreciation but provide protection if she is wrong. You would therefore: Buy a forward contract to sell Euros in 1 year Buy a 1-year put option on euros O Write a 1-year put option on euros Buy a 1-year call option on euros
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