Question: How do i solve this? Assume you are a US importer with an account payable denominated in New Zealand dollars due in one year, in

How do i solve this?

Assume you are a US importer with an account payable denominated in New Zealand dollars due in one year, in the amount of NZD 4,000,000. The current spot rate is 0.65 and the forward rate is 0.68 , in number of USD for one NZD. Additionally, one-year interest rates are 8.4 in the US and 5.4 in New Zealand, in \%. What would be the US dollar amount of the hedged payable using a money market hedge? Enter your answer with no decimals

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