Question: Table 7: Canada exchange rate hedges compared: (2 marks) Forward rate Money market hedge locked in exchange rate $/CAD 0.76748 0.76683 Which hedging technique should

Table 7: Canada exchange rate hedges compared: (2 marks)

Forward rate

Money market hedge locked in exchange rate

$/CAD

0.76748

0.76683

Which hedging technique should be applied? Specify complete type of hedging instrument, for how long and on what currency/currency conversion (3 marks)

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