Question: a) Distinguish between 'spot' and 'forward' foreign exchange contracts including settlement information. (3 marks) b) Calculate the 90-day forward rate given the spot rate is

a) Distinguish between 'spot' and 'forward' foreign exchange contracts including settlement information. (3 marks) b) Calculate the 90-day forward rate given the spot rate is AUD/GBP 0.5555 and interest rates are 1% in the UK and 3% in Australia (use 365 day-year for both countries). What are the forward points

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