What would be the spot rate forecasted for one year ahead
Question: Assume that the forward rate is used to forecast the spot rate. The forward rate of the Canadian dollar contains a 6% discount. Today's spot rate of the Canadian dollar is $.80. What would be the spot rate forecasted for one year ahead?
Now Priced at $20 (50% Discount)
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Please help determine the solution as to why or why not Kinky should buy the machine. Please break it down so that it presents a clear understanding.
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What would be the spot rate forecasted for one year ahead?
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