Question
1-The current spot exchange rate is $1.55/ and the three-month forward rate is $1.50/. You enter into a short three-month position on 1,000. At maturity,
1-The current spot exchange rate is $1.55/ and the three-month forward rate is $1.50/. You enter into a short three-month position on 1,000. At maturity, the spot exchange rate is $1.60/. How much money have you made or lost?
Made $150
Lost $100
Made 100
Lost $50
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Quantum Economics And Finance
Authors: David Orrell
3rd Edition
1916081630, 978-1916081635
