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The following spot and 30-day forward quotes involving Australian dollars (A$) and United States dollars (U.S.$) are given: Spot A$1.3178 214/U.S.$1 90-day 32-14 Which of
The following spot and 30-day forward quotes involving Australian dollars (A$) and United States dollars (U.S.$) are given: Spot A$1.3178 214/U.S.$1 90-day 32-14 Which of the following statements is correct? a. The forward discount to buy A$ is 0.24% b. The forward premium to buy A$ is 2.92% c. The forward discount to buy A$ is 2.92% d. The forward premium to buy A$ is 1.27% e. The forward discount to buy A$ is 1.27%
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