If the spot rate of the Israeli shekel is 5.76 shekels per dollar and the 180-day forward rate is 5.51 shekels per dollar, then the
If the spot rate of the Israeli shekel is 5.76 shekels per dollar and the 180-day forward rate is 5.51 shekels per dollar, then the forward rate for the Israeli shekel is selling at a _______________ to the spot rate.
Answer choices:
4.34% premium
6.53% discount
7.71% premium
5.35% discount
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Authors: Judith J. Baker, R.W. Baker
4th Edition
1284029867, 978-1284029864
