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Arvin Australian Imports has agreed to purchase 20,000 cases of Australian wine for 3 miltion Austrafian dollars at today's spot rate. The firm's financial manager,
Arvin Australian Imports has agreed to purchase 20,000 cases of Australian wine for 3 miltion Austrafian dollars at today's spot rate. The firm's financial manager, Sarnh Vintnor, has noted the following current spot and forward rates: On the same day, Vintnor agrees to purchase zo,vu0 more cases of wine in 3 months at the same price of 3 million Australian dollars. a. What is the prici of the wine in U.S. dollars if it is purchased at today's spot rate? Pound your answer fo the nearest cent. $ b. What is the cost in U.5. dollars of the necond 20,000 cases If payment is made in 90 days and the spot rate at that time equals today's 90 -day forward rate? Hound your answer to the nearest centi. 5 C. If the exchange rate for the Australian doliar is 1.29 to 31 in 90 days, how much will Vintnor have to pay for the wine (in U.S. doliars)? Round your answer to the nearest cent. \$
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