Suppose That Boeing Corporation Exported a Boeing 747 to Lufthansa

Suppose that Boeing Corporation exported a Boeing 747 to Lufthansa and billed €10 million payable in one year.The money market interest rates and foreign exchange rates are given as follows: Assume that Boeing sells a currency forward contract of €10 million for delivery in one year,in exchange for a predetermined amount of U.S.dollar.Suppose that on the maturity date of the forward contract,the spot rate turns out to be $1.40/€ (i.e.less than the forward rate of $1.46/€) .Which of the following is true?

A) Boeing would have received only $14.0 million, rather than €14.6 million, had it not entered into the forward contract
B) Boeing gained $0.6 million from forward hedging
C) a) and b)
D) none of the above