CAIIB - BFM - Forex Numerical

 

Case Study: 1

Based on the following information/date, answer the following questions.

Currency	Rates of interest per annum
	3 Months	6 Months	12 Months
USD	1.5%	2%	2.25%
Saudi Riyal	6.5%	7.5%	8%
INR	5.75%	6%	6.25%

 

 

Q1. What will be the 6 months USD forward rate, if spot dollar is 73.75?

a) 73.75

b) 75.21

c) 75.89

d) 76.89

 

Q2. What will be the 12 months USD forward rate, if spot dollar is 74.00?

a)74.75

b)75.85

c)76.25

d)76.89

 

Q3. What will be the 3 months Saudi Riyal forward rate, if spot Saudi Riyal is 19.32?

a) 18.99

b) 19.28

c) 19.36

d) 19.98

 

Q4. What will be the 6 months Saudi Riyal forward rate, if spot Saudi Riyal is 19.50?

a) 18.99

b) 19.28

c) 19.36

d) 19.98