Business, 11.11.2019 20:31, ethanberry9960

The italian airline alitalia will pay $10 million to united airlines one year from today. the spot rate is $1.35/e, while the 1-year forward rate is $1.40/e. the 1-year interest rate in the us is 5%, and the 1-year interest rate in the euro zone is 3%. what should alitalia do to hedge its transaction exposure

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The italian airline alitalia will pay $10 million to united airlines one year from today. the spot r...