A foreign exchange dealer (market maker) provides the following quotes for spot and one-month forward rates between SF and US$:

Please answer the following two questions:

1) How much would you (as a client) receive in Swiss franc (SF) if you sell $1,000,000 to the bank at the spot rate?

2) How much would you have to pay in SF if you buy $1,000,000 from the bank in a one-month forward contract?

Spot One month forward Bid (SF/S) 1.18 1.20 Offer (SF/S) 1.20 1.21