Volusia, Inc. is a U.S.-based firm that expects to receive payment from its Canadian customers and delivery payment to its German suppliers. Based on today's spot rates, the dollar value of the funds of Canadian dollars received is estimated at $200,000, and the dollar value of the funds of Euros paid is estimated at $300,000. Based on data for the last fifty months, Volusia estimates the standard deviation of monthly percentage changes to be 7 percent for the euro and 4 percent for the Canadian dollar. The correlation coefficient between the euro and the Canadian dollar is -0.30