Use the Following Information to Answer Questions 10-12

question 42

Multiple Choice

Use the following information to answer questions 10-12.
Table 6.2: Spot and Forward Exchange Rates on May 5, 2012.

-Refer to Table 6.2.On May 5,2012,the 3-month forward yen was selling at a:

• A) 13.10% premium per annum against the dollar.
• B) 52.40% premium per annum against the dollar.
• C) 13.10% discount per annum against the dollar.
• D) 52.40% discount per annum against the dollar.

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