Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

XPS Bank (Oman) makes a future contract at Dubai Securities Market which involves the sale of 22 Million USD for receiving OMR. At the date

image text in transcribed
XPS Bank (Oman) makes a future contract at Dubai Securities Market which involves the sale of 22 Million USD for receiving OMR. At the date the contract is signed, the rate was 0.383 OMR/USD. The contract has a 6-month maturity and at the time of maturity, the actual rate of USD is 0.397 OMR/USD. By the end of the contract, XPS makes -126900 OMR of loss. Using the given information find the contract rate. Select one: O a. 0.3912 O b. 0.4028 O c. 0.3888 O d. 0.3772

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

More Books

Students also viewed these Finance questions

Question

1. Define and calculate elasticities.

Answered: 1 week ago