If a Company Takes Out a Forward Exchange Contract,which of the Following

Multiple Choice

If a company takes out a forward exchange contract,which of the following is correct?

A) At the maturity date, the company can pay either the forward rate that was contracted or the then-current rate.
B) Taking out a forward exchange contract is always cheaper than waiting to pay spot rates.
C) Paying the spot price is safer than taking out a forward exchange cover.
D) The company's cost is locked in from the beginning of the contract, regardless of market changes.