The case of transaction exposure is described as follows. Choose the correct answer in the parenthesis in the description of the case. The choice is in bold letters. - My company sold a product to a German co., and sales department signed a contract to receive Euro 10,000 3 month later, A/R of Euro 10,000. - The sales contract is delivered to my desk. I, a treasurer, am wondering how much USD my co. will get from Euro 10,000 3 months from now. - The currency market is in turmoil, I will get more USD when USD weakens against EUR in the next 3 months. - Market anticipates strong USD. However, if USD strengthens more than market expects, I will get (more /less) USD from sales contract of EUR 10,000. Are there any possibility to lock in my USD receipt to a certain level, or at minimum. In that way, my USD receipt will not get any lower even though USD appreciates more than the rate I can contract (buy EURO/sell EURO) now. - How and what kind of contracts are available now to protect/hedge my position of A/R of EUR 10,000 against strong USD in the future? - I understand that if USD depreciates further unexpectedly, I might regret for hedging, since I could get (more /less) USD from the receipt of EUR10,000. less; sell Euro; more more; sell Euro; more less; buy Euro; more less; sell Euro; less