Suppose That the Value of a Forward Contract That You

question 5

Multiple Choice

Suppose that the value of a forward contract that you were holding for the last six months is $50 today.It matures in three more months.If today's spot price is $97 and the underlying simple interest rate is 5 percent per year,what was the forward price negotiated when you purchased the contract six months back?

• A) $15.57
• B) $38.76
• C) $47.59
• D) $50.63
• E) None of these answers are correct.

Understand the protocols for secure access and data destruction.

Recognize forms of sensitive information and the importance of protecting Personally Identifiable Information (PII).

Identify security practices for safe data communication over networks.

Comprehend the significance of security policies in setting standards for secure behaviors and technologies.

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Definitions:

Paraphrasing

The act of rewording or rephrasing text or speech to clarify meaning without changing its original intent.

Conversation Partner

An individual engaged in dialog or communication with another, contributing to the exchange of ideas, thoughts, or feelings through verbal or non-verbal means.

Concise

Expressing much in few words, being brief and to the point.

Disconfirming Response

Statement that causes another person to value himself or herself less.