=+7. Suppose the fixed-interest rates in the UK and Eurozone are 2% and 4% p.a., respectively, with

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=+7. Suppose the fixed-interest rates in the UK and Eurozone are 2% and 4% p.a., respectively, with continuous compounding. Also, assume that in the Euro market the current Sterling exchange rate is €1.200 (so that

£1,000 costs €1,200). What is the fair futures price in the Eurozone for

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Introductory Course On Financial Mathematics

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1st Edition

Authors: M V Tretyakov

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Question Posted: Oct 23, 2024 08:06 AM

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=+7. Suppose the fixed-interest rates in the UK and Eurozone are 2% and 4% p.a., respectively, with

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Introductory Course On Financial Mathematics

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