The spot rate on the Canadian dollar is C$1.28/$ and the 3-month forward rate is C$1.25/$. How can a U.S. importer who has to pay C$1,000,000 in 3 months hedge her foreign exchange risk?

A. By entering into a forward contract to buy C$1,000,000 and sell $800,000

B. By entering into a forward contract to sell C$1,000,000 and buy $1,250,,000

C. By entering into a forward contract to buy C$1,000,000 and sell $1,250,000

D. By entering into a forward contract to buy C$1,000,000 and sell $781,250

E. By entering into a forward contract to sell C$1,000,000 and buy $800,000