the cost of buying 100 dollars was francs. e. On Wednesday, the 30-day forward franc was at a (premium/discount) of dollars, which equaled percent on an annual basis. What about the 90-day for- ward franc? 15. Assume a speculator anticipates that the spot rate of the franc in three months will be lower than today's three-month forward rate of the franc, $0.50 1 franc. speculate in the forward market? months is $0.40? $0.60? $0.50? a. How can this speculator use $1 million to b. What occurs if the franc's spot rate in three 16. You are given the following spot exchange rates: $13 francs, $14 schillings, and 1 franc 2 schillings. Ignoring transaction costs, how much profit could a person make via three-point arbitrage