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question on first pic. second pic is the data table. i need help finding the formula you need to solve this question please. Euro/Japanese Yen.
question on first pic. second pic is the data table. i need help finding the formula you need to solve this question please.
Euro/Japanese Yen. A French firm is expecting to receive 10.4 million in 120 days as a result of an export sale to a Japanese semiconductor firm. What will it cost, in total, to purchase an option to sell the yen at 0.0070/W? (See table for initial values.) The cost, in total, to purchase an option to sell the yen at 0.0070/JPY is ex. (Round to the nearest cent.) A European firm wishing to buy A Japanese firm wishing to buy or sell euros (the foreign currency) or sell yen (the foreign currency) Variable Value Variable Value rd 2.1870 % rd % Domestic interest rate (% p.a.) Foreign interest rate (% p.a.) Volatility (% p.a.) rf 0.0875 % rf 0.0875 2.1870 10.000 % un 10.000 % s % d1 -0.36429 d1 -0.71004 d2 -0.42163 d2 -0.76738 0.35782 N(D1) 0.23884 N(1) N(d) 0.33665 N(02) 0.22143 Euro/Japanese Yen. A French firm is expecting to receive 10.4 million in 120 days as a result of an export sale to a Japanese semiconductor firm. What will it cost, in total, to purchase an option to sell the yen at 0.0070/W? (See table for initial values.) The cost, in total, to purchase an option to sell the yen at 0.0070/JPY is ex. (Round to the nearest cent.) A European firm wishing to buy A Japanese firm wishing to buy or sell euros (the foreign currency) or sell yen (the foreign currency) Variable Value Variable Value rd 2.1870 % rd % Domestic interest rate (% p.a.) Foreign interest rate (% p.a.) Volatility (% p.a.) rf 0.0875 % rf 0.0875 2.1870 10.000 % un 10.000 % s % d1 -0.36429 d1 -0.71004 d2 -0.42163 d2 -0.76738 0.35782 N(D1) 0.23884 N(1) N(d) 0.33665 N(02) 0.22143 Step by Step Solution
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