RAM uses a forward hedge to hedge its Canadian dollar (CAD) receivables. In three months, RAM has identified its net exposure to Canadian dollar as being CAD1,500,000. The 90-day forward rate is $7.23. Furthermore, RAMs financial center has indicated that the possible values of the CAD after three month are $7.20 and $7.25, with probabilities of .70 and .30, respectively. Based on this information, what is the expected real cost of hedging RAM net receivables?