Assume annualized interest rates in the us and switzerland, Financial Management

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Assume annualized interest rates in the us and switzerland

Assume annualized interest rates in the U.S. and Switzerland are 10% and 4%, respectively, and the Swiss franc can be exchanged for $0.3807. Assume covered interest rate parity holds. What is the 90day forward rate for the Swiss franc ($/Swiss franc)?

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Financial Management: Assume annualized interest rates in the us and switzerland

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Financial Management: Assume annualized interest rates in the us and switzerland

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