Which she then converts back to euros at an exchange rate


1. John Smith Bank has ¥211 million in loans to corporate customers and has ¥ 37 million in deposits it owes to customers with the same maturity. The bank has also purchased ¥ 53 million and ¥ 50 million forward. What is the bank's net exposure in millions of dollars (e.g., 100)?

2. An investor starts with €1 million and converts it to £700,000, which is then invested for one year. In a year the investor has £725,358, which she then converts back to euros at an exchange rate of 0.63 pounds per euro. What is the annual euro rate of return in percent?

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Which she then converts back to euros at an exchange rate
Reference No:- TGS02688016

Expected delivery within 24 Hours