RLW, Inc., based in the US, exports products to a Swedish firm and will receive payment of Krona 2,300,000 in three mont

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answerhappygod
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RLW, Inc., based in the US, exports products to a Swedish firm and will receive payment of Krona 2,300,000 in three mont

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RLW, Inc., based in the US, exports products to a Swedish firm
and will receive payment of Krona 2,300,000 in three months. On
June 1, the spot rate of the Krona was $0.125, and the 3-month
forward rate was $0.17. On June 1, RLW negotiated a forward
contract with a bank to sell Krona 2,300,000 forward in three
months. The spot rate of the Krona on September 1 is $0.14. LRW
will receive $_______ for the Kronas.
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