Question: ( MMH - exporter, 2 / 4 ) Suppose that Boeing exported a Boeing 7 3 7 to British Airways and billed 1 0 million

(MMH-exporter, 2/4) Suppose that Boeing exported a Boeing 737 to British Airways and billed 10 million payable in one year. The market conditions are given as follows: iS=2%,iE=3%,S0=$1.12?1,F1=$1.151. Which of the following is a correct step of a money market hedge?
Boeing buys US dollars in the forward market
Boeing berys US dollars in the spot market
Boeing sells British pounds in the forward market
Boeing buys British pounds in the spot market
Boeing buys British pounds in the forward market
( MMH - exporter, 2 / 4 ) Suppose that Boeing

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