What amount lrw will receive for the kronas

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Reference no: EM132073902

RLW, Inc., based in the US, exports products to a Swedish firm and will receive payment of Krona 2,500,000 in three months. On June 1, the spot rate of the euro was $0.125, and the 3-month forward rate was $0.12.

On June 1, RLW negotiated a forward contract with a bank to sell Krona 2,500,000 forward in three months.

The spot rate of the euro on September 1 is $0.14. LRW will receive $_______ for the Kronas.

Reference no: EM132073902

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