If the spot rate of the Malaysian ringgit is $0.38 and the six-month forward rate of the ringgit is $0.32, what is the forward premium or discount in percentage on an annual basis (keep 2 decimals)?

 If the Canadian dollar is equal to $0.96 and the Brazilian real is equal to $0.32, what is the value of the Brazilian real in terms of Canadian dollars (keep 4 decimals)?

  Assume: (1) the US annual interest rate = 9.78%; (2) the Malaysian annual interest rate = 4.77%; and (3) the 83-day forward rate for the Malaysian ringgit = $0.281. At what current spot rate will interest rate parity hold (keep 4 decimals)?

  Suppose annual inflation rates in the US and Cambodia are expected to be 4.99% and 85.53%, respectively over the next year. If the current spot rate for the Cambodian riel (KHR) is 3,346 riels per dollar, then the best estimate of the riel's future spot rate one year from now is:

  If the expected inflation rate is 4.85% and the real required return is 4.20%, what is the approximate nominal interest rate in percentage (keep 2 decimals)?

Answer rating: 100% (QA)

1 The forward premium or discount is calculated as Forward rate Spot rate Spot rate 12 months 100 03... View the full answer