Question
The spot exchange rate is $1.15 per euro, and the six-month risk-free interest rates are 2% in the U.S. and 1% in the eurozone, both
The spot exchange rate is $1.15 per euro, and the six-month risk-free interest rates are 2% in the U.S. and 1% in the eurozone, both with continuous compounding. What is the six-month forward rate?
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Fundamentals of Investments Valuation and Management
Authors: Bradford Jordan, Thomas Miller
7th edition
978-0078096785, 78096782, 978-0077861636, 77861639, 978-0078115660
