A U$.$S$.$ corporation has a UK subsidiary. On January $1,2023$ the spot rate for the British Pound $($$$/)$ is $1\mathrm{.}8301.$ The US company anticipates repatriating $1,020,000$ on March $31,2023$ to pay dividends to shareholders in the US$.$ The US parent company wishes to hedge against an unexpected depreciation of $,$ which will result in fewer dollars per $$

April $$ Futures price $=$ $$1\mathrm{.}8010($April is the closest delivery date available$)$

a$.$ How many British Pound contracts should the US parent company buy or sell? Why?

b$.$ Assume that on March $31,2023$ the March $31,$ Spot $$/=1\mathrm{.}7500($the $$ did depreciate and the $1,020,000$ are worth fewer dollars!$)$ and further assume that the April $$ Futures price $=1\mathrm{.}7250.$ What action should the company take and what will be the profit$/$loss of this hedging strategy?