Question: HELLO !! CAN ANYONE HELP ME TO SOLVE Q2 a ? i am stucked pls help me out to solve it !!! urgent !! plssss

 HELLO !! CAN ANYONE HELP ME TO SOLVE Q2 a ?

HELLO !! CAN ANYONE HELP ME TO SOLVE Q2 a ? i am stucked pls help me out to solve it !!! urgent !! plssss

Q2. (a) Suppose you have the opportunity to invest AUD1000 for 6 months in a Singapore based investment paying 10 percent p.a. (5 percent for 6 months). Using the forward rates provided below for price information, what is the expected return on this investment in value and percentage? (10 marks) Spot rate I month forward 3 month forward 6 month forward Direct rate SGD/AUD 0.814334 0.819672 0.822504 0.858369 Indirect rate AUD/SGD 1.22800 1.22000 1.21580 1.16500 (b) Natwest Bank Berhad (Natwest) bought 200 contracts of September 2021 3- month KLIBOR futures contract on the Bursa Malaysia Derivatives Berhad at 96.80 on 9 May 2021. (i) Define 3-month KLIBOR futures contract. (2 marks) (ii) Calculate the implied 3-month KLIBOR rate at which Natwest bought the 200 contracts of September 2021. (2 marks) The minimum movement for the 3-month KLIBOR futures contract is called a "tick'. What is the Ringgit value for a "tick"? Show your workings. (2 marks) (iv) If Natwest decides to sell the 200 contracts of September 2021 3- month KLIBOR futures contracts at 97.40 to square off its position, how much did Natwest gain or loss on the sale of the 200 contracts of September 2021 3-month KLIBOR? (4 marks) This final assessment paper consists of 4 questions on 7 printed pages. UBFB3013 BANKING OPERATIONS AND TREASURY MANAGEMENT Section B Q2. (Continued) (c) Southern Auto Machinery Berhad (Southern) is a distributor and manufacturer of heavy industry machinery in Malaysia. Southern import raw materials for manufacturing from Zurich and is due to pay its supplier for an amount of USD123,456.79 (equivalent MYR 500,000). Also, Southern expects to receive CHF176,211.45 (equivalent MYR800,000) from its regular client in Switzerland. Explain TWO (2) techniques that Southern can use to adjust the timing of payable and receivable to reflect the expectation of future soft currencies' fluctuation. (10 marks) [Total: 30 marks]

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