Distinguish between the put option and swap

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Reference no: EM132066008

a. If the USDGHS spot rate is 4.5000, and its six-month forward rate has a forward premium of 7%. The Chief financial officer of your MNC wants to know the one year forward rate of the USD?.

b. If the spot rate of the USD is GHS4.5850, find the periodic as well as the annualized forward discount or premium if the 60-day forward rate is quoted as GHS4.6100

c. Distinguish between the following

a) Put Option and a swap

b) Spot foreign exchange rate and forward rates.

Reference no: EM132066008

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