User Account

All Pages

What is percentage return from covered interest arbitrage

Assignment Help Basic Statistics
Reference no: EM132053714

Assume the following information: 

Current spot rate of Australian dollar =$.86

Forecasted spot rate of Australian dollar 1 year from now =$.88

1-year forward rate of Australian dollar =$.93

Annual interest rate for Australian dollar deposit =4%

Annual interest rate in the U.S. =2%

What is your percentage return from covered interest arbitrage with $650,000?

Reference no: EM132053714

Questions Cloud

Read post carefully and write response : Marsha hi and thank you for your post to the discussion board forum. We now live in a time when energy drinks are what a lot of people use in order.
Purchasing bonds issued by the store : James lent money to The Corner Store by purchasing bonds issued by the store, and therefore the rate of return that he and the other lenders
What is the project expected npv if it can be abandoned : Once the project is abandoned, the company would no longer receive any cash inflows from it. What is the project's expected NPV if it can be abandoned?
Explain the sources of the central issues : Please explain the source(s) of the central issue(s) or problem(s) is/are. Why is the situation the way it is?
What is percentage return from covered interest arbitrage : Annual interest rate in the U.S. =2% What is your percentage return from covered interest arbitrage with $650,000?
Future value and present value of monetary sums : It is only necessary to understand how to use the technological tools to perform calculations vs. it is important to understand the calculations
Destructive force to the status quo of business : Do you agree that technology has served as a destructive force to the status quo of business? Explain.
What is the wacc : The NuPress Valet Co has a ratio of debt to equity is 1 to 1. The Cost of equity is 14%, the cost of debt is 10% and the tax rate is 34%. What is the WACC?
What is a common-size balance sheets : What is a common-size balance sheets? What is a common base year balance sheet? How do you create one?

Reviews

Write a Review

Basic Statistics Questions & Answers

  Statistics-probability assignment

MATH1550H: Assignment:  Question:  A word is selected at random from the following poem of Persian poet and mathematician Omar Khayyam (1048-1131), translated by English poet Edward Fitzgerald (1808-1883). Find the expected value of the length of th..

  What is the least number

MATH1550H: Assignment:  Question:     what is the least number of applicants that should be interviewed so as to have at least 50% chance of finding one such secretary?

  Determine the value of k

MATH1550H: Assignment:  Question:     Experience shows that X, the number of customers entering a post office during any period of time t, is a random variable the probability mass function of which is of the form

  What is the probability

MATH1550H: Assignment:Questions: (Genetics) What is the probability that at most two of the offspring are aa?

  Binomial distributions

MATH1550H: Assignment:  Questions:  Let’s assume the department of Mathematics of Trent University has 11 faculty members. For i = 0; 1; 2; 3; find pi, the probability that i of them were born on Canada Day using the binomial distributions.

  Caselet on mcdonald’s vs. burger king - waiting time

Caselet on McDonald’s vs. Burger King - Waiting time

  Generate descriptive statistics

Generate descriptive statistics. Create a stem-and-leaf plot of the data and box plot of the data.

  Sampling variability and standard error

Problems on Sampling Variability and Standard Error and Confidence Intervals

  Estimate the population mean

Estimate the population mean

  Conduct a marketing experiment

Conduct a marketing experiment in which students are to taste one of two different brands of soft drink

  Find out the probability

Find out the probability

  Linear programming models

LINEAR PROGRAMMING MODELS

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd