Table 11.4.Forward Exchange Rates

question 101

Multiple Choice

Table 11.4.Forward Exchange Rates

-Refer to Table 11.4.Comparing the franc's forward rates against the franc's spot rate,the exchange market's consensus is that over the period of a forward contract,the franc's spot rate will:

• A) Depreciate against the dollar
• B) Appreciate against the dollar
• C) Remain constant against the dollar
• D) None of the above

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