The final goal of this is to provide with the necessary tools to manage an International firm avoiding market$$s volatility. The market$$s volatility $($commodities or exchange rate$)$ may affect the firm on its cost or income, so it is imperative to hedge the exposed entry by using market derivatives that offsets the possible natural gains or loss, creating a desirable cash flow stability.

Create a report based on a hypothetical firm$$s income statement where the exchange rate is the most significant market risk must compare two scenarios $($with versus without financial derivatives$)$ under the event of a $20\%$ exchange rate or the commodities appreciation$/$depreciation$.$

must describe the calculations and the hedge mechanics using Derivarive$$s exchange or bank$$s specific products and specific features.