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1. The spot price of the Swiss franc is 1.0600. The futures price for a contract deliverable in two months is 1.0500. The two-month spot

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1. The spot price of the Swiss franc is 1.0600. The futures price for a contract deliverable in two months is 1.0500. The two-month spot rates in Switzerland and the Eurozone are 1% and 2% per annum, respectively, with continuous compounding. Write down the trades a trading program will execute in order to profit from the arbitrage opportunity, and report the present value of the profit

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