Question: Transaction costs are zero. If the 9 0 - day forward rate overestimates the spot rate 9 0 days from now, then the real cost

Transaction costs are zero. If the 90-day forward rate overestimates the spot rate 90 days from now, then the real cost of hedging payables will be:
Group of answer choices
positive if the forward rate exhibits a premium, and negative if the forward rate exhibits a discount
negative
zero
none of the options listed
positive

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