What Was the Annualized Forward Premium on the Pound If

question 37

Multiple Choice

What was the annualized forward premium on the pound if the spot rate on January 20, 2005 was £0.5156$ and the 180 day forward rate was £0.5000/$?

• A) 6.24%
• B) 3.12%
• C) 1.56%
• D) 6.05%

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Definitions:

Dread

A profound fear or apprehension about a possible situation or event.

Community Mental Health

A model of mental health care focusing on delivering behavioral health services within community settings to improve accessibility.

Forerunners

Individuals, concepts, or things that precede and indicate the approach of someone or something else, often pioneers or early indicators of future developments.

Prominent

Standing out or being very noticeable in comparison to others.