Question: The spot is 0 . 7 0 / e while the 1 - month forward rate is 0 . 9 5 . You agree to

The spot is 0.70/ e while the 1-month forward rate is 0.95. You agree to sell e4 million at the 1-month rate. Next month the spot rate is 0.85/e, what are your pro ts/losses?

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