P32-3. Forward Exchange Rates Use the information in Figure 32.1A and 32.1C to answer the following...
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P32-3. Forward Exchange Rates Use the information in Figure 32.1A and 32.1C to answer the following questions: (Note: in Figure 32.1(C), exchange rates given for currencies with asterisk (*) are direct quotes from the view point of those currencies.) a-1. What is the six-month forward rate for the Japanese yen, in yen per Canadian dollar? (Round the answer to 4 decimal places. Omit "\" sign in your response.) Six-month forward rate 81.97 a-2. This part of the question is not part of your Connect assignment. b-1. What is the three-month forward rate for British pounds in Canadian dollars per pound? (Round the answer to 4 decimal places. Omit "$" sign in your response.) Three-month forward rate CDN$ 0.9970 b-2. This part of the question is not part of your Connect assignment. c. This part of the question is not part of your Connect assignment. FIGURE 32.1A Exchange Rate Quotations Previous One week Day % Week % Per US$ Latest day ago change change Canada $ 1.2549 1.2565 1.2603 -0.1% -0.4% Euro 0.8491 0.8527 0.8492 -0.4% 0.0% Japan Yen 110.6240 110.7880 109.2060 -0.1% 1.3% UK Pound 0.7229 0.7254 0.7275 -0.4% -0.6% Switzerland 0.9420 0.9440 0.9397 -0.2% 0.2% Franc Australia $ 1.3131 1.3170 1.3172 -0.3% -0.3% Mexico Peso 20.2979 20.4394 20.6846 -0.7% -1.9% Hong Kong $ 7.7757 7.7747 7.7688 0.0% 0.1% Singapore $ 1.3451 1.3450 1.3479 0.0% -0.2% China Renminbi 6.5654 6.5527 6.5463 0.2% 0.3% India Rupee 73.2876 73.2037 72.6366 0.1% 0.9% Russia Rouble 76.2891 75.7148 76.1545 0.8% 0.2% Brazil Real 5.7089 5.6329 5.6499 1.3% 1.0% Previous One week Day % Week % Per CDN$ Latest day ago change change US $ 0.7969 0.7959 0.7935 0.1% 0.4% Euro 0.6767 0.6787 0.6739 -0.3% 0.4% Japan Yen 88.1572 88.1754 86.6536 0.0% 1.7% UK Pound 0.5760 0.5774 0.5772 -0.2% -0.2% Switzerland 0.7507 0.7513 0.7457 -0.1% 0.7% Franc Australia $ 1.0464 1.0482 1.0451 -0.2% 0.1% Mexico Peso 16.1756 16.2676 16.4130 -0.6% -1.4% Hong Kong $ 6.1965 6.1878 6.1644 0.1% 0.5% Singapore $ 1.0719 1.0705 1.0696 0.1% 0.2% China Renminbi 5.2320 5.2153 5.1944 0.3% 0.7% India Rupee 58.4035 58.2623 57.6362 0.2% 1.3% Russia Rouble 60.7954 60.2609 60.4276 0.9% 0.6% Brazil Real 4.5495 4.4832 4.4831 1.5% 1.5% Quotes have been rounded to the fourth decimal for clarity; quotations are closing rates of April 1, 2021. Source: Compiled data from www.fx-exchange.com/. FIGURE 32.1C Forward Exchange Rate Quotations Per US$ 1 month 3 months 6 months 1 year 2 years 3 years 4 years 5 years CDN$ 1.2578 1.2577 1.2577 1.2575 1.2600 1.2648 1.2706 1.2732 Euro 0.8503 0.8492 0.8475 0.8435 0.8349 0.8228 0.8067 0.7885 Yen 110.5925 110.5473 110.4395 110.0955 109.2764 107.8135 105.6550 103.0850 British Pound 0.7249 0.7248 0.7246 0.7240 0.7232 0.7209 0.7155 0.7079 Per CDNS 1 month 3 months 6 months 1 year 2 years 3 years 4 years 5 years US$ Euro 0.7950 0.7951 0.7951 0.7953 0.7937 0.7907 0.7870 0.7854 0.6760 0.6752 0.6738 0.6708 0.6626 0.6505 0.6349 0.6193 Yen 87.9300 87.9000 87.8100 87.5500 86.7300 85.2400 83.1600 80.9700 British Pound 0.5763 0.5763 0.5761 0.5758 0.5740 0.5700 0.5631 0.5560 Quotes have been rounded to the fourth decimal for clarity: quotations are closing rates of April 1, 2021. Source: Adapted from "Financial Markets Daily." RDC Economics, April 1, 2021, available at: http://www.rbc.com/economics/economic-reports/financial-market-reports.html. P32-3. Forward Exchange Rates Use the information in Figure 32.1A and 32.1C to answer the following questions: (Note: in Figure 32.1(C), exchange rates given for currencies with asterisk (*) are direct quotes from the view point of those currencies.) a-1. What is the six-month forward rate for the Japanese yen, in yen per Canadian dollar? (Round the answer to 4 decimal places. Omit "\" sign in your response.) Six-month forward rate 81.97 a-2. This part of the question is not part of your Connect assignment. b-1. What is the three-month forward rate for British pounds in Canadian dollars per pound? (Round the answer to 4 decimal places. Omit "$" sign in your response.) Three-month forward rate CDN$ 0.9970 b-2. This part of the question is not part of your Connect assignment. c. This part of the question is not part of your Connect assignment. FIGURE 32.1A Exchange Rate Quotations Previous One week Day % Week % Per US$ Latest day ago change change Canada $ 1.2549 1.2565 1.2603 -0.1% -0.4% Euro 0.8491 0.8527 0.8492 -0.4% 0.0% Japan Yen 110.6240 110.7880 109.2060 -0.1% 1.3% UK Pound 0.7229 0.7254 0.7275 -0.4% -0.6% Switzerland 0.9420 0.9440 0.9397 -0.2% 0.2% Franc Australia $ 1.3131 1.3170 1.3172 -0.3% -0.3% Mexico Peso 20.2979 20.4394 20.6846 -0.7% -1.9% Hong Kong $ 7.7757 7.7747 7.7688 0.0% 0.1% Singapore $ 1.3451 1.3450 1.3479 0.0% -0.2% China Renminbi 6.5654 6.5527 6.5463 0.2% 0.3% India Rupee 73.2876 73.2037 72.6366 0.1% 0.9% Russia Rouble 76.2891 75.7148 76.1545 0.8% 0.2% Brazil Real 5.7089 5.6329 5.6499 1.3% 1.0% Previous One week Day % Week % Per CDN$ Latest day ago change change US $ 0.7969 0.7959 0.7935 0.1% 0.4% Euro 0.6767 0.6787 0.6739 -0.3% 0.4% Japan Yen 88.1572 88.1754 86.6536 0.0% 1.7% UK Pound 0.5760 0.5774 0.5772 -0.2% -0.2% Switzerland 0.7507 0.7513 0.7457 -0.1% 0.7% Franc Australia $ 1.0464 1.0482 1.0451 -0.2% 0.1% Mexico Peso 16.1756 16.2676 16.4130 -0.6% -1.4% Hong Kong $ 6.1965 6.1878 6.1644 0.1% 0.5% Singapore $ 1.0719 1.0705 1.0696 0.1% 0.2% China Renminbi 5.2320 5.2153 5.1944 0.3% 0.7% India Rupee 58.4035 58.2623 57.6362 0.2% 1.3% Russia Rouble 60.7954 60.2609 60.4276 0.9% 0.6% Brazil Real 4.5495 4.4832 4.4831 1.5% 1.5% Quotes have been rounded to the fourth decimal for clarity; quotations are closing rates of April 1, 2021. Source: Compiled data from www.fx-exchange.com/. FIGURE 32.1C Forward Exchange Rate Quotations Per US$ 1 month 3 months 6 months 1 year 2 years 3 years 4 years 5 years CDN$ 1.2578 1.2577 1.2577 1.2575 1.2600 1.2648 1.2706 1.2732 Euro 0.8503 0.8492 0.8475 0.8435 0.8349 0.8228 0.8067 0.7885 Yen 110.5925 110.5473 110.4395 110.0955 109.2764 107.8135 105.6550 103.0850 British Pound 0.7249 0.7248 0.7246 0.7240 0.7232 0.7209 0.7155 0.7079 Per CDNS 1 month 3 months 6 months 1 year 2 years 3 years 4 years 5 years US$ Euro 0.7950 0.7951 0.7951 0.7953 0.7937 0.7907 0.7870 0.7854 0.6760 0.6752 0.6738 0.6708 0.6626 0.6505 0.6349 0.6193 Yen 87.9300 87.9000 87.8100 87.5500 86.7300 85.2400 83.1600 80.9700 British Pound 0.5763 0.5763 0.5761 0.5758 0.5740 0.5700 0.5631 0.5560 Quotes have been rounded to the fourth decimal for clarity: quotations are closing rates of April 1, 2021. Source: Adapted from "Financial Markets Daily." RDC Economics, April 1, 2021, available at: http://www.rbc.com/economics/economic-reports/financial-market-reports.html.
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