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Bid/Ask on U.S. Dollar to Euro Forwards. Use the following spot and forward bid-ask rates for the U.S. dollar/euro (USD = EUR1.00) from December

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Bid/Ask on U.S. Dollar to Euro Forwards. Use the following spot and forward bid-ask rates for the U.S. dollar/euro (USD = EUR1.00) from December 10, 2010, , to answer the following questions: a. What is the mid-rate for each maturity? b. What is the annual forward premium for all maturities? c. Which maturities have the smallest and largest forward premiums? a. What is the mid-rate for each maturity? Calculate the mid-rate for each maturity below: (Round to five decimal places.) Days Bid Rate Period Forward US$/ Ask Rate US$/ Mid-rate US$/ Spot 0 1.3257 1.3258

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