Assume that you will be making a payment of TZS1,925,110 90 days from now. There is...
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Assume that you will be making a payment of TZS1,925,110 90 days from now. There is no forward market for Tanzanian Shillings, so you decide to engage in a money market hedge. The 90 day periodic rate for TZS is 2.79%. The current spot rate is TZS2,118/USD. What is the USD amount that you will use for the hedge? Note: Make sure to round your intermediate steps and final answer to four decimal places. Type your answer... Assume that you will be making a payment of TZS1,925,110 90 days from now. There is no forward market for Tanzanian Shillings, so you decide to engage in a money market hedge. The 90 day periodic rate for TZS is 2.79%. The current spot rate is TZS2,118/USD. What is the USD amount that you will use for the hedge? Note: Make sure to round your intermediate steps and final answer to four decimal places. Type your answer...
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Related Book For
Fundamentals Of Financial Management
ISBN: 9780273713630
13th Revised Edition
Authors: James Van Horne, John Wachowicz
Posted Date:
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