(B) The spot rate for euro is $ 0.99 and the three month forward rate is $1.02. (i) Calculate the forward discount/premium. (ii) How can a US importer who has to pay 100 euro's three months from April 28 hedge foreign exchange risk in the forward market? (iii) Suppose a speculator believes that the spot rate in three months will be $ 1.05. How can he speculate using the forward market? If he invests $100, what will be his profit (in $) if his speculation is right? Edit Format Table 12pt Paragraph * B I U A Q V T2 0 . .. A. Current Account Balance= 4,000+1000+2000+2500-1000-1000= 7,500 MacBook Pro esC