Forex . Spot/Forward rates an. X Forward Points x + brary/SSE-3/International Financial Management Sem VI Batch 2012-15%2C2013-16%2C2014-17%2C2015-18. BAWA K A NIA - + Automatic Zoom . MISTUTTULIS: Tigures towe TIA MICATE T marks to the question. [20 Marks) Q1. Given the following information, calculate the rates given below: EUR/USD GBP/USD USD/JPY USD/CHF USD/INR Spot 1.2275/76 1.3785/86 105.80/82 0.9395/97 65.20/25 Forward points 1 month 0.0010/12 0.0004/06 -0.08/07 -0.0012/10 0.22/25 2 months 0.0021/23 0.0010/12 -0.26/24 -0.0025/23 0.29/32 3 months 0.0033/34 0.0021/23 -0.34/32 -0.0035/33 0.38/41 6 months 0.0075/77 0.0050/52 -0.81/79 -0.0065/63 0.50/53 1. Buy EUR/JPY spot [1 Mark] 2. Sell GBP/USD2 months forward [1 Mark 3. Buy CHF/INR spot [1 Mark] 4. Buy USD/JPY 3 months forward [1 Mark) 5. Sell USD/INR 6 months forward [1 Mark] 6. Buy EUR/INR 1 month forward [1 Mark] 7. A European trader has bought EUR10million at 1.2825. He closes his position at the spot rate given above. How much loss or profit has he made. [3.5 Marks] 8. An Indian company had booked a forward contract for GBP2,000,000 to hedge their exports. The export order has been cancelled and the company must cancel the forward contract. If the contract was booked at 82.15, calculate the loss or profit if it is cancelled at the current spot rate given above. [3.5 Marks] 9. An Indian trader has sold EUR25,000,000 ag GBP at 0.9965. He closes the trade at the current spot rate. Calculate the profit or loss in terms of the trader's local currency. [3.5 Marks) 10. An Indian importer has booked a forward contract to hedge his USD 1,000,000 LIC payment at the rate USD/INR 66.50. There is one month left for due date. He wants to cancel the forward contract, calculate his loss or profit in his local currency. [3.5 Marks Page 1 of 2