Multiple Choice
Suppose Montreal Import Company has to pay a foreign supplier 400,000 euros in one year and decides to hedge their position by entering into a forward contract.What is the appropriate forward position?
A) 400,000 short euro forward contract
B) 200,000 euro forward contract
C) 400,000 long euro forward contract
D) not enough information provided to identify an answer
Correct Answer:
Verified
Correct Answer:
Verified
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