Ubisense now believe that the Venezuela Bolivar (Bs) will appreciate in value against the Russian Ruble () in the oncoming one-month period. They have exposure of 100,000. The current spot rate is 0.6820/Bs, the one month forward rate is 0.6640/Bs, and they expect the spot rate to reach 0.7250/Bs in one months time. Required: (c) Calculate Ubisense's expected profit assuming a pure spot market speculation strategy and explain it. (d) Determine Ubisense's expected profit assuming they buy or sell Bs one month forward and explain it. (e) Explain in detail what FOREX exposure is and the various forms of FOREX derivatives available to Ubisense to hedge that exposure.