You have bid for a possible export order that would provide a cash inflow of 1 million

Question:

You have bid for a possible export order that would provide a cash inflow of €1 million in 6 months. The spot exchange rate is USD1.30 = EUR1, and the 1-year forward rate is USD1.28 = EUR1. There are two sources of uncertainty:

(1) The euro could appreciate or depreciate, and

(2) you may or may not receive the export order. Illustrate in each case the profits or losses that you would make if you sell €1 million forward by filling in the following table. Assume that the exchange rate in 1 year will be either USD1.20 = EUR1 or USD1.40 = EUR1?

Exchange Rate
The value of one currency for the purpose of conversion to another. Exchange Rate means on any day, for purposes of determining the Dollar Equivalent of any currency other than Dollars, the rate at which such currency may be exchanged into Dollars...