Question
Calculate the forward premium on the dollar (the dollar is the home currency) if the spot rate is 1.3349euro/$ and the 3-month forward rate is
Calculate the forward premium on the dollar (the dollar is the home currency) if the spot rate is 1.3349euro/$ and the 3-month forward rate is 1.3544euro/$. Note: Use a 360-day year.
a. What is the foward premium on the dollar in %? (Round to four decimal places)
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Financial Management And Policy
Authors: James C. Van Horne
12th Edition
0130326577, 9780130326577
