Question: This question is multi tiered, but I ONLY need answer for #3. I have included the other parts of the question to provide needed information

This question is multi tiered, but I ONLY need answer for #3. I have included the other parts of the question to provide needed information and context, without violating the 1 question rule. Again, I ONLY need answer for #3. Please and thanks!

This question is multi tiered, but I ONLY need answer for #3.

3 only

I have included the other parts of the question to provide needed

Question 1 1 pts Questions 1-8 are based on the following information: Boeing sold an aircraft, Boeing 777, to Lufthansa Airlines, a German company, and billed 30 million payable in one year. Boeing is concerned with the USD proceeds from international sales and would like to control exchange risk. The current spot exchange rate is $1.05/ and one-year forward exchange rate is $1.10/ at the moment. Boeing can buy a one-year option on euro with a strike price of S1.12/ for a premium of $0.02 per euro. Currently, the annual interest rate is 5% in the euro zone and 6% in the U.S This is anca is ancase for Boeing. e A/R Question 2 1 pts If Boeing wants to hedge the transaction exposure using forward, Boeing should enter a million due in one year. position in a forward contract of e30 e long e short Question 3 1 pts If Boeing enters a forward euro contract today, the guaranteed dollar proceeds for this international sale in one year should be S million

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