Question: Question #7: a. What is meant by speculation? sume that the three month FR = $2.00/L1 and a speculator believes that the spot rate in

Question #7: a. What is meant by speculation? sume that the

Question #7: a. What is meant by speculation? sume that the three month FR = $2.00/L1 and a speculator believes that the spot rate in three months will be SR = $2.05/L1. market? b. As How can a person speculate in the forward

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