Question
You have $900,000 to invest. Current spot rate of Australian dollar (A$) = $0.62. 180-day forward rate of the Australian dollar = $0.64. 180-day interest
You have $900,000 to invest. Current spot rate of Australian dollar (A$) = $0.62. 180-day forward rate of the Australian dollar = $0.64.
180-day interest rate in the United States = 3.5%.
180-day interest rate in Australia = 3.0%.
If you conduct CIA, what is the dollar profit you will have realized after 180 days?
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Private Capital Markets Valuation Capitalization And Transfer Of Private Business Interests
Authors: Robert T. Slee
2nd Edition
0470928328, 978-0470928325
