Spot Rate: Given That the Spot Rate Is $1

question 2

Multiple Choice

Spot rate: Given that the spot rate is $1.5136/€ and the 90-day forward quote is $1.4974/€, we can say that

• A) the U.S. dollar is at a forward premium against the euro.
• B) the U.S. dollar is at a forward discount against the euro.
• C) the euro is at a forward premium against the U.S. dollar.
• D) the dollar is at neither a premium nor a discount against the euro.

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Definitions:

Ambiguous Emotion

Feelings that do not have a clear or definite interpretation or expression.

Concealed Information Tests

A psychological assessment method used to determine if an individual is hiding knowledge or information related to a specific event or topic.

Polygraph Examiners

Professionals trained to conduct polygraph tests, which are used to assess the veracity of individuals' statements.

Specific Probes

Techniques or questions designed to elicit particular responses or information in research or investigations.