Solution-Find out the spot rate, You enter a long position

Find out the spot rate

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Reference no: EM133112606

You enter a long position in a #2 future contract with the size of €125,000 today. The futures expire in 90 days. The interest rates are i$=5% and i€=10.4%. The current spot rate is $1 .38/€. Assume 360 days a year. If the spot rate is $1 .43/€ the next day and interest rates remain the same, your profit or loss for this day is $|:|. (Keep the sign and two decimal numbers.)

Reference no: EM133112606

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Find out the spot rate

Reference no: EM133112606

Reference no: EM133112606

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