$(2)$ In the example, Baltimore Machinery effectively gave the Swiss client a free option to pay in $ or in SF$.$ If the spot rate turns out to be $$\frac{0\mathrm{.}62}{S}F$ in three months, what is the value of this free option for the Swiss client?

If the spot rate turns out to be $$\frac{0\mathrm{.}62}{S}F$ in three months, $SF15,{000}^{**}\frac{0\mathrm{.}62}{S}F=$$$9,300$

Value if this free option for the Swiss client would be $$10,000-$$$9,300=$$$700,$ the Swiss client saves $$700$ by choosing to pay in Swiss Franc.

$(3)$ At what future spot rate will the Swiss firm choose to pay with $ $?$