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Christoph Hoffeman trades currency for RiverRock Capital of Geneva. Christoph has USD2476960 to begin with. The 30-day forward rate is USD 1.3350= EUR1.00. Christoph believes
Christoph Hoffeman trades currency for RiverRock Capital of Geneva. Christoph has USD2476960 to begin with. The 30-day forward rate is USD 1.3350= EUR1.00. Christoph believes the euro will continue to rise in value against the U.S. dollar and expects the spot rate to be USD 1.3600= EUR1.00 at the end of 30 days. If he enters into a forward contract and his projections are true, how much profit can he make? Round to the nearest dollar/euro.
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