Suppose you observe the spot rate in France to be 0.90€/USD, the U. S. risk-free interest rate of 3.25% (continuously co

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answerhappygod
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Suppose you observe the spot rate in France to be 0.90€/USD, the U. S. risk-free interest rate of 3.25% (continuously co

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Suppose you observe the spot rate in France to be 0.90€/USD, the
U. S. risk-free interest rate of 3.25% (continuously compounded),
and the current risk-free (cc) interest rate in the Eurozone is
6.75%, what is the theoretical value of a six month foreign
exchange futures contract in terms of € per US dollar (select the
closest answer).
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