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Assume Carlton enters into a three - year fixed - for - fixed swap agreement to receive Swiss Franc and pay U . S .

Assume Carlton enters into a three-year fixed-for-fixed swap agreement to receive Swiss Franc and pay U.S. dollar annually, on a notional amount of $6,000,000. The spot exchange rate at the time of the swap is SF0.8/$. Assume that one year into the swap agreement Carlton decides it wishes to unwind the swap agreement and settle it in dollars. Assuming that a two-year fixed rate of interest on the Swiss Franc is now 2.59%, and a two-year fixed rate of interest on the dollar is now 5.90%, and the spot rate of exchange is now SF0.81/$. To Carlton, what is the net present value (in dollar) of the swap agreement? (Keep the sign and two decimal places.)
\table[[,Euro-,Swiss franc,U. S. dollar,lapanese yen],[Years,Bid,Ask,Bid,Ask,Bid,Ask,Bid,Ask],[2,3.08,3.12,1.68,1.76,5.43,5.46,0.45,0.49],[3,3.25,3.29,2.12,2.17,5.54,5.59,0.56,0.59]]
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