The 360 day forward rate of the Swiss franc is $ 50 The spot rate of the Swiss franc is $ 48 The following interest rates exist U S Switzerland 360 day borrowing rate 7 5 360 day deposit rate 6 4 You have a payable of SF200,000 in 360 days How much does the company pay in dollars if they decide to use a forward hedge

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The 360-day forward rate of the Swiss franc is $.50. The spot rate of the Swiss franc is $.48. The following interest rates exist: U.S.

The 360-day forward rate of the Swiss franc is $.50. The spot rate of the Swiss franc is $.48. The following interest rates exist:

	U.S.	Switzerland
360-day borrowing rate	7%	5%
360-day deposit rate	6%	4%

You have a payable of SF200,000 in 360 days.

How much does the company pay in dollars if they decide to use a forward hedge?

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