Question: 11. Forward rate: Use the data in Exhibit 21.5 to answer these questions: (a) What is the six-month forward rate (in U.S. dollars) for Swiss

11. Forward rate: Use the data in Exhibit 21.5 to answer these questions: (a) What is the six-month forward rate (in U.S. dollars) for Swiss francs? Is the Swiss franc selling for a premium or a discount? (b) What is the six-month forward rate (in U.S. dollars) for the Japanese yen? Is the Japanese yen selling for a premium or a discount? (c) Given the information above, what do you think will happen to the value of the Swiss franc and the Japanese yen relative to the U.S. dollar?

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