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Using the following data, answer the following questions: Spot: 1 = $1.4487 30day forward: 1 = $1.4498 90day forward: 1 = $1.4511 180day forward: 1

Using the following data, answer the following questions:

Spot: 1 = $1.4487

30day forward: 1 = $1.4498

90day forward: 1 = $1.4511

180day forward: 1 = $1.4529

  • How much would 1,500,000 cost in dollars?
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  • What is the 90-day forward premium or discount for the British pound?

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