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A Japanese importer has a 1000,000 payable due in one year Spot exchange rates 1-year Forward Rates Contract size 62,500 $1.25-1.00 $1.20-1.00 $1.00- 100 $1.00-120

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A Japanese importer has a 1000,000 payable due in one year Spot exchange rates 1-year Forward Rates Contract size 62,500 $1.25-1.00 $1.20-1.00 $1.00- 100 $1.00-120 $12,500,000 The one-year risk free rates are i5 4.03% ie6.05%; and ly 14 Detail a strategy using forward contracts that will hedge his exchange rate risk. Have an estimate of how many contracts of what type Go short in 16 yen forward contracts Go tong in 12 euro contracts Go short in 12 yen forward contracts. Go long in 16 ur contacts none of the options Golong in 12 yen forwant contracts. Go shorti 16 euro contract A Japanese importer has a 1,000,000 payable due in one year Spot exchange rates 1-year Forvard Rates Contract size 62,500 $1.20-1.00 $1.25 1.00 $1.00 100 $1.00-120 $12,500,000 The one-year risk free rates are i5-4.03% de 6.05%; and ly 1%. Detall a strategy using forward contracts that will hedge his exchange rate risk. Have an estimate of how many contracts what type Muple Choice Go short in 16 yen forward contracts. Go long in 12 eura contracts Go short in 12 yen forward contracts. Go long in 16 euro contracts one of the options Going in 12 yen forward contracts Go short in 16 uro contracta L A Japanese importer has a 1000,000 payable due in one year Spot exchange rates $1.20 1.00 1-year Forward Rates $1.25 1.00 Contract size C 62,500 $12,500,000 $1.00- 100 $1.00-120 The one-year risk tree rates are i5 4.03%: 16.05% and ly 1 Detail a strategy using forward contracts that will hedge his exchange rate risk. Have an estimate of how many contracts of what type A Japanese importer has a 1,000,000 payable due in one year. Spot exchange rates 1-year Forward Rates Contract size $1.20 1.00 $1.25 1.00 62,500 $1.00= 100 $1.00= 120 12,500,000 The one-year risk free rates are i = 4.03%; ie = 6.05%; and iy = 18. Detail a strategy using forward what type. Multiple Choice Go short in 16 yen forward contracts. Go long in 12 euro contracts. Go short in 12 yen forward contracts. Go long in 16 euro contracts. none of the options. Go long in 12 yen forward contracts. Go short in 16 euro contracts

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