Question: A US MNC: Expecting to make a 1 0 0 0 , 0 0 0 , 0 0 0 ven payment in 6 months (
A US MNC: Expecting to make a ven payment in months So the US MNC has a payable doe
Currently, the exchange rate is $ We note that Month Puts ang Calls on the Yen are seling at $ on a contract stze of Yen, with a kikepnceof$
A Should the US MNC buy cals of puts?
B How many contracts?
C Determine the US MNCS net nickide all relevant costs payment in USS if:
The tinal exchange is $
The final exchange is $
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