2. The following graph represents the hedging options for an accounts payable in British pounds. Give the correct hedging decision for each of the following risk and expected spot price scenarios: a. Risk averse and expected spot at expiration is $1.44 b. Risk averse and expected spot at expiration is $1.50 C. Risk averse and expected spot at expiration is $1.57 d. Risk tolerant and expected spot at expiration is $1.44 e. Risk tolerant and expected spot at expiration is $1.50 f. Risk tolerant and expected spot at expiration is $1.57 C. spot at expiration is $1.50 Risk averse and expected spot at expiration is $1.57 d. Risk tolerant and expected spot at expiration is $1.44 e. Risk tolerant and expected spot at expiration is $1.50 f. Risk tolerant and expected spot at expiration is $1.57 Accounts Payable in British Pounds Strike = $1.50, call premium = $.0177, put premium = $.0284, forward $1.4882 -1.35 1.42 1.43 144 1.45 1.46 1.47 1.48 149 1.5 -1.4 151 1.52 1.53 1.54 1.55 1.57 1.58 -1.45 Cost of Accounts Payable -1.5 unhedged buy fwd buy call -1.55 sell put -1.6 Spot Price at Expiration