A Canadian Firm Markets Forestry Products in the U

A Canadian firm markets forestry products in the U.S. and receives payment in U.S. dollars. A U.S. financial institutional does consulting work in Canada and receives payment in Canadian dollars. By entering a(n) _____, these firms can lock in the value of their services in their home currency over an extended period of time.

A) Cross-hedge.
B) Swap contract.
C) Futures contract.
D) Forward contract.
E) Option contract.