If the USD JPY spot rate is 115 00, and the one year rate JPY rates are 1 and the one year USD rates are 2 , what is the one year USD JPY forward price 115 54 112 57 113 87 115 00 ...

The detailed answer for the above question is provided below The oneyear forwa ...

If the USD/JPY spot rate is 115.00, and the one- year rate JPY rates are 1% and

Fantastic news! We've Found the answer you've been seeking!

Question:

If the USD/JPY spot rate is 115.00, and the one- year rate JPY rates are 1% and the one- year USD rates are 2%, what is the one- year USD/JPY forward price?
1. 115.54
2. 112.57
3. 113.87
4. 115.00

Related Book For answer-question

Spreadsheet Modeling & Decision Analysis A Practical Introduction to Management Science

ISBN: 978-0324656633

5th edition

Authors: Cliff T. Ragsdale

See More Books

Posted Date: Oct 09, 2023 08:16 AM

See More Questions

If the central-limit theorem holds, what proportion of the sample means should fall within 0.5 lb of the population mean (112.0 oz)? Obstetrics Figure 6.4b (p. 172) plotted the sampling distribution...
What theoretical relationship should there be between the standard deviation in Problem 6.48 and the standard deviation in Problem 6.49? Table 6.2: Sample of birth-weights (oz) obtained from 1000...
Spot yen is 103 yen/$. One year US interest rates are 0.039 and one year Japanese interest rates are 0.019. If there was a futures contract in Japanese yen that matured exactly one year from today....
Determine the breakeven point for each plant. Hambry Enterprises produces a component for recycling uranium used as a nuclear fuel in power plant generators in France and the United States. Use the...
A tank contains 1 m3 of water at 20°C and has a drawn-capillary outlet tube at the bottom, as in Fig. P6.63. Find the outlet volume flux Q in m3/h at this instant. I m I m3 L = 80 cm D-4 cm 0
Presented below are two independent revenue arrangements for Colbert Company. Instructions Respond to the requirements related to each revenue arrangement. (a) Colbert sells 3D printer systems....
The following readings were taken during the test on a single cylinder four stroke oil engine : Cylinder diameter $=270 \mathrm{~mm}$, stroke length $=380 \mathrm{~mm}$, mean effective pressure...
A company retired $60 million of its 6% bonds at 102 ($61.2 million) before their scheduled maturity. At the time, the bonds had a remaining discount of $2 million. Prepare the journal entry to...
Discuss the impact of process simulation in the design and scaling-up of chemical plants. How do advanced modeling techniques, such as Computational Fluid Dynamics (CFD) and Discrete Element Method...
Conduct a Pareto analysis for the number of minutes that flights are late in the accompanying data. Interpret the results. E Click the icon to view the Atlanta Airline Data. Conduct a Pareto analysis...
Cost and activity data have been supplied for the following products: K425 $126.00 M67 $212.00 $ 11.50 $ 7.20 4,000 400 Direct materials cost per unit Direct labour cost per unit Number of units...
Critically assess the role of collateral in secured lending and the mitigation of credit risk for lenders. How do banks evaluate the quality, liquidity, and marketability of collateral assets to...
What does it mean in the article to "replace the price model"?...
based on the above video answer the questions below what salient points made an impression on you in the documentary, and why? How did you feel after watching the documentary? describe the ethical...
What was the most personally useful or favorite thing you learned in this course? I think that the most useful thing I will be taking away from this course is the nursing process and the breakdown of...
Please give some opinions about this topic. As many as you could https://www.nytimes.com/2023/03/05/business/media/movie-theaters-ticket-prices.html
When a voltage V is applied to a series circuit consisting of a resistor R and an inductor L, the current at time / is (2/2) (1 - e-R/L) R Expand 1(1) in a Maclaurin series. Show that I(1) I(t) = Vi...
Refer to the table to answer the following questions. Year Nominal GDP (in billions) Total Federal Spending (in billions) Real GDP (in billions) Real Federal Spending (in billions) 2000 9,817 578...
a. Do you agree with the controllers recommendation? Why or why not? b. Formulate an LP model for this problem. c. Create a spreadsheet model for this problem and solve it using Solver. d. What is...
Refer to the previous question. Create a spreadsheet model to simulate the completion times for the auditing project. Assume that activity times follow a triangular distribution and perform 500...
A used-car broker needs to transport his inventory of cars from locations 1 and 2 in Figure to used-car auctions being held at locations 4 and 5. The costs of transporting cars along each of the...
What methods can a company use to raise capital?
Does higher expected inflation increase, decrease, or have no effect on the required rate of return?
You have been asked to consult for an entrepreneur who is assembling investors for a new professional sport league. A critical decision for the league will be whether to organize under a...

If the USD/JPY spot rate is 115.00, and the one- year rate JPY rates are 1% and

Question:

Expert Answer:

The detailed answer for the above question is provided below The oneyear forwa... View the full answer

Spreadsheet Modeling & Decision Analysis A Practical Introduction to Management Science

Students also viewed these finance questions