Traserg Inc. is a new automobile manufacturer that specializes in electric cars for export to Italy. Switzerland, and England. The company anticipates that its sales for the next six months will follow that which is given in the table below: Country Quantity Price Revenue Spot Rate 6-Month Forward Rate Italy 3,920 41,730 163,581,600 $1.2307/1 $1.2485/1 Switzerland 675 F49,094 F33,138,450 $1.0485/1F $1.0685/1F 535 43,132 23,075,620 $1.3840/10 $1.3962/1 Tracerg's supply chain is globally based for which its total cost structure is shown by the following table: Country Switzerland China Russia Mexico (S) France Germany Finland Italy F66,151,533 427,645,290 P17,012,486 MP19,139,047 29,771,851 40,404,655 10,632,804 31,898,412 Spot Rate $1.0488/15 Y6.3346/15 P56.6589/15 MP18.5887/1$ $1.2307/16 $1.2307/16 $1.2307/1 $1.2307/1 6 Month Forward Rate $1.0685/16 46.4020/15 P57.7081/15 MP19.1780/15 $1.2485/16 $1.2485/16 $1.2485/1 $1.2485/1 1) Give a description of when the use of options may be favored for Tacer as opposed to a forward contract strategy. In addition, give the downside to the use of options Traserg Inc. is a new automobile manufacturer that specializes in electric cars for export to Italy. Switzerland, and England. The company anticipates that its sales for the next six months will follow that which is given in the table below: Country Quantity Price Revenue Spot Rate 6-Month Forward Rate Italy 3,920 41,730 163,581,600 $1.2307/1 $1.2485/1 Switzerland 675 F49,094 F33,138,450 $1.0485/1F $1.0685/1F 535 43,132 23,075,620 $1.3840/10 $1.3962/1 Tracerg's supply chain is globally based for which its total cost structure is shown by the following table: Country Switzerland China Russia Mexico (S) France Germany Finland Italy F66,151,533 427,645,290 P17,012,486 MP19,139,047 29,771,851 40,404,655 10,632,804 31,898,412 Spot Rate $1.0488/15 Y6.3346/15 P56.6589/15 MP18.5887/1$ $1.2307/16 $1.2307/16 $1.2307/1 $1.2307/1 6 Month Forward Rate $1.0685/16 46.4020/15 P57.7081/15 MP19.1780/15 $1.2485/16 $1.2485/16 $1.2485/1 $1.2485/1 1) Give a description of when the use of options may be favored for Tacer as opposed to a forward contract strategy. In addition, give the downside to the use of options