Question
The spot rate on the London market is 0.5560/$, while the 90-day forward rate is 0.5581/$. What is the annualized forward premium or discount on
The spot rate on the London market is 0.5560/$, while the 90-day forward rate is 0.5581/$. What is the annualized forward premium or discount on the British pound?(Round answer to 2 decimal places, e.g. 17.54%. Use 360 days for calculation.)
Forward premium or (discount)
%
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Fundamentals of Corporate Finance
Authors: Richard Brealey, Stewart Myers, Alan Marcus, Devashis Mitra, Elizabeth Maynes, William Lim
6th Canadian edition
978-1259024962
