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Which of the following methods could you use

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Different hedging methods: It is currently March, 2019. You are working in the Treasury department of a large corporation, and your boss asks you to lock in a three-month borrowing rate today, for a loan that will be taken out in 9 months (i.e., the loan will run from Dec. 2019 to March 2020). 

Which of the following methods could you use? (there may be more than one correct answer; indicate all correct answers)

I. In the spot market today, sell a one-year Treasury bill, and buy a nine month Treasury bill, both with the same current price.

II. In the spot market today, buy a one-year Treasury bill, and sell a nine month Treasury bill, both with the same current price.

III. Take a short position in a December 2019 Eurodollar futures contract.

IV. Take a short position in a June 2019 Eurodollar futures contract.

Reference no: EM132384758

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