国际金融课后习题答案
You are given the following information about a country’s international transactions during a year: a.Calculate the values of the country’s goods and rvices balance,current account balance,and official ttlements balance?
a.Merchandi trade balance: $330 - 198 = $132
Goods and rvices balance: $330 - 198 + 196 - 204 = $124 Current account balance: $330 - 198 + 196 - 204 + 3 - 8 = $119
Official ttlements balance: $330 - 198 + 196 - 204 + 3 - 8 + 102 - 202 + 4 = $23
b.What are the value of the change in official rerve asts(net)?Is the country increasing or decreasing its net holdings of official rerve asts? 目标设置
b.Change in official rerve asts (net) = - official ttlements balance = -$23 The country is increasing its net holdings of official rerve asts.
引用文献的格式 What are the major types of transactions or activities that result in supply of foreign currency in the spct foreign exchange market?
Exports of merchandi and rvices result in supply of foreign currency in the foreign exchange market. Domestic llers often want to be paid using domestic currency, while the foreign buyers want to pay in their currency. In the process of paying for the exports, foreign currency is exchanged for domestic currency, creating supply of foreign currency. International capital inflows result in a supply of foreign currency in the foreign exchange market. In making investments in domestic financial asts, foreign investors often start with foreign currency and must exchange it for domestic currency before they can buy the domestic asts. The exchange creates a supply of foreign currency. Sales of foreign financial asts that the country's residents had previously acquired, and borrowing from foreigners by this country's residents are other forms of capital inflow that can create supply of foreign currency.
You strat with dollars and want to end up with dollars
a.hoe would you engage in arbitrage to profit from the three rates?what is the profit for each dollar ud initially? a.The cross rate between the yen and the krone is too high (the yen value of the krone is too high) relative to the dollar-foreign currency exchange rates. Thus, in a profitable
triangular arbitrage, you want to ll kroner at the high cross rate. The arbitrage will be: U dollars to buy kroner at $0.20/krone, u the kroner to buy yen at 25 yen/krone, and u the yen to buy dollars at $0.01/yen. For each dollar that you ll initially, you can obtain 5 kroner, the 5 kroner can obtain 125 yen, and the 125 yen can obtain $1.25. The arbitrage profit for each dollar is therefore 25 cents.
未成年保护>生活垃圾 b.As a result of this arbitrage,what is the pressure on the cross-rate between yen and krone?what must the value of the cross-rate be to eliminate the opportunity for triangular arbitrage?
b.Selling kroner to buy yen puts downward pressure on the cross rate (the yen price of krone). The value of the cross rate must fall to 20 (=0.20/0.01) yen/krone to eliminate the 拜耳除虫
华多音字opportunity for triangular arbitrage, assuming that the dollar exchange rates are unchanged.
Explain the nature of the exchange rate risk for each of the following,from the perspective of the U.S frim or person.in your answer,include whether each is a long or short position in foreign currency. 中国世界遗产
a.a small U.S firm sold experimental computer computer compoments to a Japane firm,and it will receive payment of 1 million yen in 60 days.
a.The U.S. firm has an ast position in yen—it has a long position in yen. To hedge its exposure to exchange rate risk, the firm should enter into a forward exchange contract now in which the firm commits to ll yen and receive dollars at the current forward rate. The contract amounts are to ll 1 million yen and receive $9,000, both in 60 days.
The current spot exchange rate is ＄1.20/euro.the current 90-day forward exchange rate is＄1.u expect the spot rate to be ＄1.22/euro in 90 days.how would you specu
late using a forward contract?if many people speculate in this way,what pressure is placed on the walue of the current forward exchange rate?
描写祖国的古诗 Relative to your expected spot value of the euro in 90 days ($1.22/euro), the current forward rate of the euro ($1.18/euro) is low—
Annualized interest rate on 30-day dollar-denominated bonds:12%(1.0% for 30 days) Annualized interest rate on 30-day Swiss franc-denominated bonds:6%(0.5% for 30 days) a.Is the swiss franc at a forward premium or discount?
a.The Swiss franc is at a forward premium. Its current forward value ($0.505/SFr) is greater than its current spot value ($0.500/SFr).
