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Question 5 1 pts AU.S. firm is interested in conducting a forward market hedge for a 30-day Yen- denominated receivable. The spot and forward rates

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Question 5 1 pts AU.S. firm is interested in conducting a forward market hedge for a 30-day Yen- denominated receivable. The spot and forward rates for the Japanese Yen are JPY 95.0/USD and JPY 99.0/USD, respectively. The Yen is said to be trading at an annualized forward of premium, 17.6% premium, 50.5% discount, 48.5% discount, 50.5% Question 6 1 pts Assume a U.S. based MNC has a Chilean subsidiary that annually remits 30 million Chilean pesos to the U.S. If the peso depreciates (say from CLP 466/USD to CLP 480/USD), the dollar amount of remitted funds decreases. True False

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