Question
The four month interest rates in Switzerland and the United States are 2.75 percent and 3.94 percent per annum respectively with continuous compounding. The spot
The four month interest rates in Switzerland and the United States are 2.75 percent and 3.94 percent per annum respectively with continuous compounding. The spot price of Swiss franc is $1.12 USD per 1 CHF. Calculate the four months futures price for CHF. Keep your answer to two decimal places and write your answer in the format of USD per 1 CHF (swiss franc). For example, if your think futures price should be 1.02 USD per 1 CHF, then answer 1.02.
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Foundations of Financial Management
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
10th Canadian edition
1259261018, 1259261015, 978-1259024979
