Suppose that you hold a piece of land in the City of London that you may want to sell in one year. As a U$.$S$.$ resident, you are concerned with the dollar value of the land. Assume that, if the British economy booms in the future, the land will be worth $2,000$ and one British pound will be worth $$1\mathrm{.}40.$ If the British economy slows down, on the other hand, the land will be worth less, i$.$e$.,1,500,$ but the pound will be stronger, i$.$e$.,$ $$1\mathrm{.}50/.$ You feel that the British economy will experience a boom with a $60\%$ probability and a slow$-$down with a $40\%$ probability. Assume that economic exposure measured by beta $($b$)$ is $-5500.$ What's your risk and how could you hedge your risk in forward markets?

Group of answer choices

A$.$ My risk is pound appreciation and I should sell $5500$ in forward market.

B$.$ My risk is pound depreciation and I should buy $5500$ in forward market.

C$.$ My risk is pound depreciation and I should sell $5500$ in forward market.

D$.$ My risk is pound depreciation and I should buy $$5500$ in forward market.

E$.$ My risk is pound appreciation and I should sell $$5500$ in forward market.

F$.$ My risk is pound appreciation and I should buy $5500$ in forward market.

CHOSE ONE OPTION IF CORRECT I WILL UPVOTE