(1) Long-term payment, worried about the rise of the euro, hedging with futures, that is, buying equivalent euro futures.

In the spot foreign exchange market, due to the appreciation of the euro, more dollars are needed to pay 5 million euros, and the loss is:

5 million * (1.2773-1.2760) = $6,500.

In the futures market, the profit from the appreciation of the euro after liquidation: 5 million * (1.2778-1.2750) =14000 USD.

Net profit: 14000-6500 = 7500 USD.

(2) Pay in advance and close the futures in advance, and the appreciation gain of the euro: 5 million * (1.2775-1.2750) =12500 USD.

The market bought 5 million euros to pay, which was more than that paid on June 20th:

5 million * (1.2770-1.2760) = $5,000.

Hedging is still profitable.