Suppose a U.S. importer purchases an Italian product today but will not pay for it for 90 days. The

cost of the product today is 30,000 euros. The spot exchange rate today is .6233 euros per dollar. If
the U.S.

importer does not hedge the position, which of the following spot exchange rates in 90
days will yield the highest returns?
A) $1.4844 per euro B) 0.6833 euros per dollar
C) $1.5387 per euro D) 0.6499 euros per dollar

B