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Alle Oberthemen / Finance & Investment / Derivatives / Derivatives
65
An exchange rate is 0.7000 and the six-month domestic and foreign risk-free interest rates are 5% and 7% (both expressed with continuous compounding). What is the six-month forward rate?
A. 0.7070
B.0.7177
C.0.7249
D.0.6930
Answer: D

The six-month forward rate is 0.7000e−(0.05−0.07)×0.5=0.6930.
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Karteninfo:
Autor: CoboCards-User
Oberthema: Finance & Investment
Thema: Derivatives
Veröffentlicht: 27.10.2015

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