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The SF/$ spot exchange rate is SF1.25/$ and the 180 day forward exchange rate is SF1.30/$. The annualized forward premium (discount) is A. the dollar
The SF/$ spot exchange rate is SF1.25/$ and the 180 day forward exchange rate is SF1.30/$. The annualized forward premium (discount) is
- A. the dollar is trading at a 4% discount to the Swiss franc for delivery in 180 days.
- B. the dollar is trading at a 4% premium to the Swiss franc for delivery in 180 days.
- C. the dollar is trading at an 8% premium to the Swiss franc for delivery in 180 days.
- D. the dollar is trading at an 8% discount to the Swiss franc for delivery in 180 days.
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International Business The Challenges Of Globalization
Authors: John J. Wild, Kenneth L. Wild
9th Edition
0134729226, 978-0134729220
