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2. As of July 2004, American Institute for Foreign Study (AIFS)hedge all its costs. Make a case (without any calculations) to CFO,Becky Tabaczynski, thata) hedging all its costs may not be an optimal strategy for thecorporation.b) an option hedge makes a better choice than forward contractsfor hedging. Would Becky Tabaczynski agree with your thoughtprocess?
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