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Skeeter Corporation wishes to purchase JPY in the forward market. Assume that contract maturity is one year. USDJPY spot equals 103 and interest rates (annual

Skeeter Corporation wishes to purchase JPY in the forward market. Assume that contract maturity is one year. USDJPY spot equals 103 and interest rates (annual compounding) in USD and JPY are 1 percent and 0.5 percent, respectively. Calculate forward premium. (use p.ppp%)

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