Speculative Foreign Contracts

McDonald's Corporation has franchises operating outside the U$.$S$.$ and invests in derivatives to hedge its foreign currency risk. Assume that McDonald's finds itself with the following unhedged forward contracts at December $16,2022.$

Agreement to purchase $10,000,000$ Philippine pesos $()$ in $30$ days at $$\frac{0\mathrm{.}020}{}.$

Agreement to sell $10,000,000$ Singapore dollars $($ $$ $)$ in $30$ days at $$\frac{0\mathrm{.}74}{5}$$$.$

Relevant exchange rates are:

$\backslash$table$[[30-$day forward rates at December $16,2022,$$$\frac{0\mathrm{.}018}{P},$$$\frac{0\mathrm{.}734}{S}$$