Question
An investor enters into a short forward contract to sell 1,000,000 for US dollars at an exchange rate of $1.2715 per . What is the
An investor enters into a short forward contract to sell 1,000,000 for US dollars at an exchange rate of $1.2715 per . What is the investor's profit or loss if the exchange rate at the end of the contract is $1.2455 per ?
a.Gain 26,000.
b.Gain $26,000.
c.Lose 26,000.
d.Lose $26,000.
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 6th Edition
324664559, 978-0324664553
