A company whose home currency is the dollar ($) expects to receive 500,000 pesos in six months’ time from a customer in a foreign country. The following interest rates and exchange rates are available to the company:

Spot rate	15·00 peso per $
Six-month forward rate	15·30 peso per $
	Home country	Foreign country
Borrowing interest rate	4% per year	8% per year
Deposit interest rate	3% per year	6% per year