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Your U.S. firm has a 100,000 payable with a 3-month maturity. Which of the following will hedge your liability? Group of answer choices All of
Your U.S. firm has a 100,000 payable with a 3-month maturity. Which of the following will hedge your liability?
Group of answer choices
All of the options
Take a long position in a forward contract on 100,000 with a 3-month maturity.
Buy the present value of 100,000 today at the spot exchange rate, invest in the U.K.
Buy a call option on 100,000 with a strike price in dollars.
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