A portfolio manager at a company is assessing the firm's foreign exchange (FX) exposures as of June 1, 2023, and intends to hedge a net receivable of EUR 5,000,000 that is expected on December 1, 2023. On the review date, the spot rate for the Euro (EUR) is USD 1.07 per EUR 1, and the 6-month forward rate stands at USD 1.10 per EUR 1. The manager is evaluating two hedging strategies:

1. Entering into a forward contract to lock in the exchange rate for the next 6 months.
2. Selling a 6-month EUR 5,000,000 call option with a strike price of USD 1.07 per EUR 1.

Which of the following statements most accurately reflects the manager's considerations?