The spot rates between the JPY and the USD are JPY114.65-88/USD and the 90-day forward rate pips are 13-18. The spot rate between the AUD and the USD is AUD1.3814- 34/USD and the 90-day forward rate pips are 36-42. What is the outright ask rate for a 90- day forward JPY/AUD contract? a. JPY82.718/AUD O b. JPY83.076/AUD O c. JPY82.874/AUD O d. JPY82.920/AUD Oe. None of the options in this question are correct.

The spot rates between the JPY and the USD are JPY114.65-88/USD and the 90-day forward rate pips are 13-18. The spot rate between the AUD and the USD is AUD1.3814- 34/USD and the 90-day forward rate pips are 36-42. What is the outright ask rate for a 90- day forward JPY/AUD contract? a. JPY82.718/AUD O b. JPY83.076/AUD O c. JPY82.874/AUD O d. JPY82.920/AUD Oe. None of the options in this question are correct.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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You enter into a futures contract to buy €125,000 at $1.53 per euro. The spot exchange rate when you enter the contract is $1.63. Your initial performance bond is $6,100 and your maintenance level is $2,400. At what settle price will you get a demand for additional funds to be posted to your account? 1.6596 1.7596 1.8896 1.5004 1.5596 1.6004
The one-year foward rate fof the British pound is qouted at $1.59, and the spot rate of the British pound is qouted at $1.65. The foward premium is ______ percent.
am. 216.
Please answer the next question based on the following quotes on currency options contracts for Swiss francs (CHF), where each contract has 62,500 CHFs. Exercise prices, call and put premiums are in cents. Calls Vol. Last Puts Vol. Last 62,500 Swiss Francs-European Style. 77 Oct 10 2.78 77 Dec 31 3.60 78 Nov 47 0.23 78 Dec 14 2.66 100 0.43 79 Oct 50 0.27 79 Nov 5 1.59 79 Dec 5 2.04 80 Nov 5 1.00 80 Dec 21 1.39 81 Oct 1.41 81 Nov 0.59 10 1.55 81 Dec 6 645 0.99 82 Nov 10 0.33 83 Nov 47 0.20 is 3.12 83 Dec 6 0.40 You buy one November PUT options contract with an exercise price of $0.81. If at the time of the option expiration date, the spot price for Swiss francs is $0.815, then this Put option is _, and you incur a net in-the-money; profit of $312.50 O out-of-the-money; loss of $312.50
Here are direct spot and forward markets quotes for EUR over three points in time: now (1/1/XX), one month later (2/1/XX), three months later (4/1/XX), and six months later (7/1/XX). 1/1/XX 2/1/XX 4/1/XX 7/1/XX EUR Spot 1.3075 1.3006 1.3605 1.3296 1 Month Forward 1.3271 1.3201 1.3809 1.3496 3 Month Forward 1.3470 1.3399 1.4016 1.3698 6 Month Forward 1.3672 1.3600 1.4226 1.3904 On 1/1/XX, Dell sold a 6 month forward contract of EUR 1,000,000 to Chase. As a result IBM will incur a when the contract expires: O Loss of $37,600 O Profit of $37,600 O Loss of $23,00 O Profit of $23,000
On December 12, 2022, Tin Company entered into a forward exchange contract to purchase 500,000 euros in 90 days.The relevant exchange rates are as follows: Spot rate Forward rate (for 3/12/2023)November 30, 2022 P0.56 P0.57December 12, 2022 P0.57 P0.58December 31, 2022 P0.61 P0.60March 12, 2023 P0.62 P0.62 The purpose of this forward contract is to hedge a purchase of inventory in November 30, 2022, payable in March 2023. How much is the net forex gain/loss December 31, 2022? (just encode the absolute amount)
On 1st January 2019, an Omani importer has to receive commodities for EUR 100,000. This amount should be delivered on 31st January. Which of the following markets is the most suitable to settle his commitment? O a. Cash Market O b. Forward Market O c. Spot Market O d. Immediate Market
The six-month interest rate of Austrilian dollar is 9 percent while the six-month interest rate for US dollar is 6.75 percent. At the same time, the spot Austrilian dollar quotation in New York is US$0.9100 and the six-month forward rate is US$0.9025. Analyse the information provided above to answer the following questions: i) Critically evaluate whether there is interest rate parity in this situation. Provide relevant calculations to support your answer. ii) Critically discuss whether, and how, it might be possible to make a profit in this situation
The EUR/USD quotes 1.1295-1.1305 and you implement a long position for 100,000 €. 2 days later the EUR/USD shows 1.1431-1.1441. What is your P&L? a)1260 $ b)1460 $ c)1260 € d)1460 €
Using info in the table below calculate how many USD you would have to pay 2 months from now to buy EUR 10,000 if you lock into a 2 month forward contract now. 98) Settings. 10,966 11,394 11,044 14,895 1) G10 11) All G10 12) 13) 14) 15) 16) 17) 18) 19) 20) 21) 22) titokb US Euro Japan UK Canada Australia ON TN Spot SN 1W 1M Switzerland 2M Denmark 3M Norway 6M Sweden N. Zealand 90) FX Markets Overview 91) FX Forwards 92) FX Options and Volatility 93) Economics 30) Forward Term Structures - Points | XDSH >> EURUSD 2) Asia 3) Europe/Africa 4) Latin America 5) Middle East 6) Metals .60 .63 1.1005 .69 -2.06 4.78 -14.26 20.22 -63.47 38.90 -128.04 56.04 -189.12 100.88 -370.08 168.84 -698.24 1Y 40) Term Structure Chart - Outrights | XCRV >> Chart 136.000000- 134.000000 132.000000- 130.000000- 128.000000 126.000000- 124.835098 124.000000 Graph terms from TOD USDJPY GBPUSD USDCAD AUDUSD NZDUSD USDCHF USDDKK USDNOK USDSEK -11.01 .31 -.22 .22 -.07 -.94 -3.83 -5.55 -5.84 -2.04 .26 -.21 .17 -.02…
D Company purchases 80,000 US dollars under a forward contract dated November 1, 2020, for delivery on January 31, 2021. The following are the direct exchange rates of a US dollar: 11/01/2020 12/31/2020 01/31/2021 Spot rates 45.75 44.90 44.5030-day forward 44.30 46.15 43.2060-day forward 47.65 44.30 45.7590-day forward 45.25 45.45 44.10 If the forward contract is a hedge of an import transaction of $80,000 dated November 1, 2020, payable on January 31, 2021, how much forex gain should the company report on its December 31, 2020 statement of comprehensive income?
The following table shows the midmarket (i.e., average of the bid and offer) for the current YEN/GBP spot exchange rate as well as for GBP and YEN 270-day LIBOR (annualized): Spot (YEN/GBP) 270-day LIBOR (GBP) 270-DAY LIBOR (YEN) 1.2089 5.25% 1.25% 1. What is the forward premium or discount for a 270-day forward contract for YEN/GBP?

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