Consider the following spot and forward rate quotations for the Swiss franc. S($/SFr) = 0.85...

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Accounting

Consider the following spot and forward rate quotations for the Swiss franc. S($/SFr) = 0.85 F1($/SFr) = 0.86 F2($/SFr) = 0.87 F3($/SFr) =0.88 Calculate the 3-month forward premium in American terms. Assume 30-day months and 360-day years.

Multiple Choice

0.353.

0.4235.

0.1364.

0.141

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