Boeing imported a Rolls$-$Royce jet engine for $4$ million in one year. Which of the following is true, given the market conditions of $i_S=6\%,i_E=5\mathrm{.}5\%,S_0=$$$\frac{1\mathrm{.}80}{},F_1=$$$\frac{1\mathrm{.}75}{}?$

To hedge this FX exposure using forward contracts, Boeing should buy $4$ million forward in exchange for $$7,000,000$

To hedge this FX exposure using forward contracts, Boeing should invest $$4$ million today in the United States

If $S1=$$$\frac{1\mathrm{.}70}{f},$ Boeing would have gained $$0\mathrm{.}2$ million from forward hedging