Sport rate, Kr/C$ 4.76

3-month forward rate, Kr/C$ 4.79

6-month forward rate, Kr/C$ 4.83

12-month forward rate, Kr/C$ 4.86

Caribou River. Caribou River, Ltd., a Canadian manufacturer of raincoats, does not selectively hedge its transaction exposure. Instead, if the date of the transaction is known with certainty, all foreign currency-denominated cash flows must utilize the following mandatory forward cover formula: Caribou expects to receive multiple payments in Danish kroner over the next year. Kr3,200,000 is due in 90 days; Kr2,200,000 is due in 180 days; and Kr800,000 is due in one year. Using the following spot and forward exchange rates,, what would be the amount of forward cover required by company policy for each period? C What would be the Canadian dollar amount of forward cover required by company policy in 3 months? CS (Round to the nearest cent.) What would be the Canadian dollar amount of forward cover required by company policy in 6 months? (Round to the nearest cent.) What would be the Canadian dollar amount of forward cover required by company policy in 12 months? (Round to the nearest cent.) Mandatory Forward Cover Paying the points forward Receiving the points forward 0-90 days 75% 100% 91-180 days 60% 90% 180 days 50% 50% Caribou River. Caribou River, Ltd., a Canadian manufacturer of raincoats, does not selectively hedge its transaction exposure. Instead, if the date of the transaction is known with certainty, all foreign currency-denominated cash flows must utilize the following mandatory forward cover formula: Caribou expects to receive multiple payments in Danish kroner over the next year. Kr3,200,000 is due in 90 days; Kr2,200,000 is due in 180 days; and Kr800,000 is due in one year. Using the following spot and forward exchange rates,, what would be the amount of forward cover required by company policy for each period? C What would be the Canadian dollar amount of forward cover required by company policy in 3 months? CS (Round to the nearest cent.) What would be the Canadian dollar amount of forward cover required by company policy in 6 months? (Round to the nearest cent.) What would be the Canadian dollar amount of forward cover required by company policy in 12 months? (Round to the nearest cent.) Mandatory Forward Cover Paying the points forward Receiving the points forward 0-90 days 75% 100% 91-180 days 60% 90% 180 days 50% 50%