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Use chart to answer questions. Will be sure to leave a thumbs up thanks JUNE FUTURES PRICE, S/Peso (Black line) Daily Peso SPOT Price (RED
Use chart to answer questions. Will be sure to leave a thumbs up thanks
JUNE FUTURES PRICE, S/Peso (Black line) Daily Peso SPOT Price (RED Dash) $0.0435 $0.0430 $0.0425 $0.0420 JUNE Mx PESO Futures Spot Price Price by date $ 0.0413 $ 0.0416 0.04198 0.0425 0.0417 0.0422 0.04122 0.0416 0.04093 0.0416 0.04166 0.0421 0.04096 0.0416 0.04046 0.041 0.04034 0.0409 0.03959 0.04002 0.04003 0.0405 0.04088 0.0412 0.0417 0.0421 0.04133 0.0414 0.04023 0.0406 0.04099 0.0415 0.04159 0.0416 0.04095 0.041 0.0413 0.0416 0.04158 0.0418 0.0411 0.041 0.04083 0.0413 0.0414 0.0419 0.04148 0.0417 0.04196 0.0421 0.04177 0.04223 0.04317 0.04310 DATE Apr. 8 Apr. 9 Apr. 10 Apr. 15 Apr. 16 Apr. 17 Apr. 20 Apr. 21 Apr. 22 Apr. 24 Apr. 27 Apr. 28 Apr. 29 Apr. 30 May.1 May 4 May 5 May.6 May.7 May.11 May.12 May. 13 May.14 May.15 May.18 May.19 May.20 $0.0415 $0.0410 $0.0405 $0.0400 $0.0395 Apr. 8 Apr. 9 Apr. 10 Apr. 15 Apr. 16 Apr. 17 Apr. 20 Apr. 21 Apr. 22 Apr. 24 Apr. 27 Apr. 28 Apr. 29 Apr. 30 May 1 May.4 May.5 May.6 May.7 Tudu edu Snew 9new Trew May. 12 May 13 May.14 May. 15 May.18 May.19 May.20 5. Selling the 10 m. Pesos at SPOT on May 20 (if did not hedge) versus Spot value on Apr.16 results in a GAIN?? OR LOSS?? in the Spot market for your US firm. 6 Refer to #5. Calculate the total SPOT $ amount of GAIN?/LOSS? if did not hedge with Futures. Show GAIN as " +$", LOSS as " -$" 7. What is the total $ value of 10 m. Pesos at the May 20 futures price? 8. A Futures hedge started on Apr.16, AS OF May 20, results in a Futures GAIN?? OR LOSS?? 9. If you hedged with Futures on Apr.16, calculate the total $ amount of Futures GAIN?/LOSS? as of May 20. Show GAIN as " + "$, LOSS as "-"$ 10. Calculate your total $ NET Gain?/Loss? by combining the May 20 Spot Gain?/Loss? with the May 20 Futures Gain?/Loss?. Show GAIN as "+"$, LOSS as "_"$ This is the net result for your firm from using Futures hedge for 10 m. Peso on Apr.16 Step by Step Solution
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