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If the spot rate for the British pound is $1.5077 and the 180-day forward rate is $1.4934, what is the annualized premium (discount)? a. discount
If the spot rate for the British pound is $1.5077 and the 180-day forward rate is $1.4934, what is the annualized premium (discount)?
| a. | discount of (-)0.97% | |
| b. | premium of 0.97% | |
| c. | premium of 1.90% | |
| d. | discount of (-)1.90% |
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Financial Markets And Institutions
Authors: Jeff Madura
8th Edition
0324568215, 978-0324568219
