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The Proportionate Difference Between the Current Forward Exchange Rate Value

question 50

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The proportionate difference between the current forward exchange rate value of a currency and its current spot value is the _____ premium.


Definitions:

AASB 138

An accounting standard that specifies how intangible assets should be accounted for and disclosed in financial statements.

Indefinite Life

An intangible asset that has no foreseeable limit on the period over which it is expected to generate economic benefits.

Not Amortised

Pertaining to certain assets or costs that are not gradually written off through amortization over their useful life, possibly because they have an indefinite life or a value that cannot be reliably measured over time.

Fair Values

An estimation of the market value of an asset or liability, based on current prices in an active market or through model-based techniques when no active market exists.

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