The Wall Street Journal reported the following spot and forward rates for the Swiss franc ($/SF).

Spot .............$0.8202

30-day forward .......$0.8244

90-day forward .......$0.8295

180-day forward ........$0.8343

a. Was the Swiss franc selling at a discount or premium in the forward market?

b. What was the 30-day forward premium (or discount)?

c. What was the 90-day forward premium (or discount)?

d. Suppose you executed a 90-day forward contract to exchange 100,000 Swiss francs into U.S. dollars. How many dollars would you get 90 days hence?

e. Assume a Swiss bank entered into a 180-day forward contract with Bankers Trust to buy $100,000. How many francs will the Swiss bank deliver in six months to get the U.S. dollars?