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The spot is $1.20 / , while the 1 -month forward rate is $1.25/. You enter into a 5 million short position. Next month the

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The spot is $1.20 / , while the 1 -month forward rate is $1.25/. You enter into a 5 million short position. Next month the spot rate is $1.03/, what are your profits? $1,100,000 $850,000 $1,100,000 1,100,000

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