Question: When evaluating hedging alternatives, what is the best theoretical benchmark? A. The budget rate for the company B. The level the company hopes to achieve

When evaluating hedging alternatives, what is the best theoretical benchmark?

A.

The budget rate for the company
B.

The level the company hopes to achieve with this strategy
C.

The Forward rate for the option's expiration date
D.

The Spot rate when the transaction happens

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