Compute the difference between forward rate and spot rate

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Reference no: EM131548513

Yes forward market exists on PKR to USD 2014

Beginning Spot Rate : 105.6 2015

End Spot Rate : 104.85

Using the information above please answer the following:

Compute the difference between forward rate and spot rate. Is it a premium or discount at the beginning of year 2014 and 2015?

Reference no: EM131548513

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