Which one of the following is correct if you have contracted to purchase 1,000 Swiss francs 3 months forward at a rate of CHF1.6 = USD1?
A) You pay $625 today for the francs.
B) You pay $1,600 today for the francs.
C) You pay $625 three months from now for the francs.
D) You pay $1,600 three months from now for the francs.
Correct Answer:
Verified
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