Exchange dollars for euro
Question:
If I plan to go to Germany 30 days and the spot exchange rate is $1.30=1 euro. The 30-day forward rate is $1.36=1 euro. Disregarding fees, would it be better to exchange dollars for euro now or wait until I get to Europe in 30 days? Why?
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Richard exchanges a building with a FMV of $75,000, a basis of $35,000, and subject to a liability of $25,000 for land with a FMV of $50,000 owned by Bill.
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Disregarding fees, would it be better to exchange dollars for euro now or wait until I get to Europe in 30 days? Why?
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