In Paris, the quotes in swap points of EUR in terms of USD are as...

90.2K

Verified Solution

Question

Accounting

In Paris, the quotes in swap points of EUR in terms of USD are as follows:
Exchange rate(USD/EUR) Spot: 1.3920-80
1 month: 50/40
3 months: 127/88
6 months: 242/155
1 Determine the forward rates USD/EUR ?
2 If you want to buy USD in 3 months, how much will you have to pay in euros?
3 If you want to buy EUR in 6 months, how much will you have to pay in USD?
4 Determine forward depreciation / appreciation rates of USD/EUR.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students