a. Using rates from table calculate the 1-month forward contract premium or discount on Euro in...

  

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a. Using rates from table calculate the 1-month forward contract premium or discount on Euro in %. (4 decimal places) b. Using rates from Table calculate the 2-month forward contract premium or discount on Euro in %. (4 decimal places) c. Using rates from Table calculate the 3-month forward contract premium or discount on Euro in %. (4 decimal places) d. Using rates from Table calculate the 6-month forward contract premium or discount on Euro in %. (4 decimal places) Bid spot rate Ask spot rate 1 month (30 days) 2 months (60 days) 3 months (90 days) 6 months (180 days) $1.2144/€ $1.2156/€ 3 to 8 9 to 16 18 to 28 25 to 45 a. Using rates from table calculate the 1-month forward contract premium or discount on Euro in %. (4 decimal places) b. Using rates from Table calculate the 2-month forward contract premium or discount on Euro in %. (4 decimal places) c. Using rates from Table calculate the 3-month forward contract premium or discount on Euro in %. (4 decimal places) d. Using rates from Table calculate the 6-month forward contract premium or discount on Euro in %. (4 decimal places) Bid spot rate Ask spot rate 1 month (30 days) 2 months (60 days) 3 months (90 days) 6 months (180 days) $1.2144/€ $1.2156/€ 3 to 8 9 to 16 18 to 28 25 to 45

Answer rating: 100% (QA)

Based on the given bid and ask spot rates for the Euro and the provided forward points we can calcul... View the full answer