Question
Makau had ksh 4,000,000 and wished to invest in USA at 7% per annum. The spot rate was ksh 111/$. The equivalent rates of interest
Makau had ksh 4,000,000 and wished to invest in USA at 7% per annum. The spot rate was ksh 111/$.
The equivalent rates of interest was 10%.Makau had a forward conrtract to whose forward rat wa ksh 114/$.
At the maturity of the investment, establish the outcome.
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Introductory Course On Financial Mathematics
Authors: M V Tretyakov
1st Edition
1908977388, 978-1908977380
