Calculate the forward premium


Problem:

Calculate the forward premium/discount on the dollar (which is your home currency) as well as the premium/discount on the euro if the spot rate is €0.73/$ and the three-month forward rate is €0.81/$. (Note: Label clearly which percent is for the dollar and which one is for the euro.)

Please provide all calculation and formulas.

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Finance Basics: Calculate the forward premium
Reference No:- TGS0876234

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