Question
Assume that you are a retail customer. Use the information below to answer the following question. Bid Ask S 0 ($/) $ 1.40 = 1.00
Assume that you are a retail customer. Use the information below to answer the following question.
| Bid | Ask | |
|---|---|---|
| S0($/) | $ 1.40 = 1.00 | $ 1.43 = 1.00 |
| F360($/) | $ 1.44 = 1.00 | $ 1.49 = 1.00 |
| Borrowing | Lending | |
|---|---|---|
| i$ | 4.20% APR | 4.10% APR |
| i | 3.65% APR | 3.50% APR |
If you had 1,000,000, traded them for USD at the spot rate, and invested the dollars in the U.S., how many USD will you get in one year?
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Real Estate Finance
Authors: Walt Huber, Levin P. Messick
5th Edition
0916772438, 9780916772437
