The 90-Day Forward Rate for the Euro Is $1

question 74

Multiple Choice

The 90-day forward rate for the euro is $1.07, while the current spot rate of the euro is $1.05. What is the annualized forward premium or discount of the euro?

• A) 1.9 percent discount
• B) 1.9 percent premium
• C) 7.6 percent premium
• D) 7.6 percent discount

---

Definitions:

Transfer Genes

Genes that can be transferred from one organism to another, potentially altering the genetic makeup of the recipient organism.

Genetic Defect

An abnormality in the genome that can lead to diseases or conditions, often inherited and sometimes causing deviations from the typical phenotype.

Novel Functions

Innovative or new roles that objects or ideas can fulfill beyond their original purposes.

Species Diversity

A measurement of the variety of species within a biological community, reflecting both the number of different species and their relative abundance.