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Amcor Corp, a U.S. company considers a project with the Australian government. If it accepts the project, it will receive one lump sum cash flow

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Amcor Corp, a U.S. company considers a project with the Australian government. If it accepts the project, it will receive one lump sum cash flow of A$ 700,000 in five years. The spot rate is presently A$1.40. The annualized interest rate for a 5-year period is 4% in the US and 6% in Australia. Interest rate parity exists. Amcor Corp.plans to hedge its cash flows with a forward contract. What is the dollar amount of cash flows that Amcor Corp. will receive in five years if it accepts this project? What is the forward rate premium that Amcor Corp. will receive in five years if it accepts this project? [xx.xxxx no% signi points QUESTION 22 What is the forward rate that mcor Corp. will receive in five years in it accepts this project? IX.XXXX No $ sign 4 points QUESTION 23 What is the dollar amount of cash flows that Amcor Corp. will receive in five years if it accepts this project? [XX.XX. No $ sign]

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