Given the information, answer the following questions.

Spot rate ($/)	1.11
6-month forward rate ($/)	1.1264
6-month U.S. dollar interest rate	6.00%
6-month euro interest rate	3.00%

(1) Compute the 6-month forward premium or discount for euro.

(2) Barclays sells 500 million forward for dollars for delivery in six months. Analyze risk that Barclays is facing and illustrate a possible solution(swap transaction) to hedge such risk using the following chart.

The chart consists of filling in blanks for "Prepare(buy) amount" & "Deliver amount" & "Recieve $ amount" & "Borrow $ amount" and "Repay $ amount." With arrows directing towards each forming a square of sorts. Please show me step by step solution for each number amount.

like,

Prepare(buy) (amount)	i	Deliver (amount) Recieve $ (amount)
Borrow $ (amount)	i$	Repay $ (amount)