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The firm's reporting currency is in euros. It has a monthly reporting horizon. The current spot rates are $1.3863/Euro and 0.5467/Euro. The 1 month forward
The firm's reporting currency is in euros. It has a monthly reporting horizon. The current spot rates are $1.3863/Euro and 0.5467/Euro. The 1 month forward rates are $1.3873/Euro and 0.5767/Euro. Given that the firm hedges using forward contracts, what would be its expected net cash flow transactions (use netting)? from these a.) 6,689 b.) -784 c.) 10,268 d.) 7,563 e.) 8,652 An Irish exporter is expecting the following foreign currency cash flows over the next month: GBP USD -50,000 +30,000 -$50,000 +90,000
The firm's reporting currency is in euros. It has a monthly reporting horizon. The current spot rates are $1.3863/Euro and 0.5467/Euro. The 1 month forward rates are $1.3873/Euro and 0.5767/Euro.
Given that the firm hedges using forward contracts, what would be its expected net cash flow transactions (use netting)? from these
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