A Japanese exporter has a €1,000,000 receivable due in one year. Spot and forward exchange rate data is given: Spot exchange rates 1-year Forward Rates Contract size $ 1.20 = € 1.00 $ 1.25 = € 1.00 € 62,500 $ 1.00 = ¥ 100 $ 1.00 = ¥ 120 ¥ 12,500,000 The one-year risk free rates are i$ = 4.03%; i€ = 6.05%; and i¥ = 1%. Detail a strategy using forward contracts

Find the strategy in the explanation.

Step-by-step explanation:

He should Sell €1m forward using 16 contracts at the forward rate of $1.25 per €1. This will generate an obligation of $1250000. After this, he should buy ¥150,000,000 forward using 12 contracts, at the forward rate of $1.00 = ¥120.

- both graphs increase on their domain.

- the graphs of both functions have the same x-intercept.

- neither graph has a y-intercept.

37 = ending with 7

unit's digit in the cube..3

56 = ending with 6

unit's digit in the cube..2

133 = ending with

unit's digit in the cube..7

hope it : ( : )