Forex And Interest Rates Illustration 7


0

Forex And Interest Rates Illustration 7

From the following data decide on the best alternative for investing INR 7 million for a temporary period of 3 months on a risk-free basis. Ignore transaction costs.

 

Currency

Spot

3 month forward

Interest Rates

INR

6.00%

USD INR

44.

44.20

4.50%

EUR INR

61.

61.18

5.00%

GBP INR

92.

92.17

5.50%

(Ans.: 105,000, 110,926, 108,413, 109,363. Invest in USD)

 

 


Like it? Share with your friends!

0
Score Tutorial
S’COrE Education is a professional coaching institute to coach for new generation courses. S’COrE has highly experienced faculty with enormous experience and achievement in teaching and industry. We teach each subject in such a manner that even complicated subject feels simple. This helps student to S’COrE-the-Max. Since 1998 S’COrE had university toppers accross courses and subjects. Once you are our student you will also believe S’COrE - the - Best !!

0 Comments

Facebook comments: