Ch 17: Assignment - Multinational Financial Management What are spot rates and forward rates? Purple Panda Importers, a U.S, company, produces and exports industrial machinery overseas. It recently made a saie to a Japanese manufacturing firm for x689 mition, but the Japanese firm has 60 days before it must make the payment to Purble Panda Importers The spot exchange rate is k129.20 per dollar, and the 60-day forward rete is 8134.56 per dollar, 15 the yen seling at a premium or at a discount in the forward market relabive to the Uis. doliar? The yen is trading ot a discount in the forward market. In the ferward market, the yen is trading at a premium. If the cupomer pays Purple Panda Imperters the x 699 millon teday, how much will Purple Panda Importers receive in dollars? \$5. 65 myllign \$4.60 milion $6.49min on $5.13 milton Asurming that the forward market is correct and tho spoc exchonge rate 1 Iinporters woold get regre dollars if the 3apanewe firm paid off its account