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Use the quotes below to calculate the one-, three-, and six-month forward cross-exchange rates between the Australian dollar and the Swiss franc. State the forward

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Use the quotes below to calculate the one-, three-, and six-month forward cross-exchange rates between the Australian dollar and the Swiss franc. State the forward cross-rates in "Australian" terms. Figures provided: A$/$ SFr/$ Spot .9542 1.0614 1 month forward .9521 1.0617 3 month forward .9482 1.0624 6 month forward .9425 1.0636 What is the correct 6 month forward cross-exchange rate in "Australian" terms? One of the following answers will be correct: a. .8968 b. 1.1151 C. 1.1285 d. .8861 Show your workings and answer as follows in the space provided below. For example: F6($/ZAR) = .5084/5.5231 = .09205 (Please note the currencies in the example are not applicable to this transaction. It is just used to show how you should write your answer.)

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