4. Suppose you observe the following spot exchange rates: $1 = 1.20, 1 = $1.60, and 1 = 0.50. Starting with $1,000,000, how can you make money in $ and what is the $ profit? 5. The $/ spot exchange rate is $1.60/ and the 180-day forward exchange rate is $1.59/. Is $ trading at forward premium or forward discount relative to ? What about ? Calculate the forward premium (discount) for $ and 6. The current spot exchange rate is $1.55/ and the three-month forward rate is $1.50/. You are selling 1,000 forward for $. How much in $ are you receiving in three months? If the spot exchange rate is $1.60/ in three months, how much is the gain or loss from this forward hedge