The following are the net currency positions of a U.S.FI (stated in U.S.dollars). $\begin{array}{lrrrr}
\text { Currency} &\text { Assets } & \text { Liabilities } & \text { FX Bought } & \text { FX Sold } \
\text { British pound} &24,600 & 70,000 & 170,400 & 321,000 \
\text { Yen} &31,000 & 20,400 & 250,000 & 220,000 \
\text { Swiss franc} &10,200 & 9,800 & 8,000 & 10,800
\end{array}$ What is the FI's net exposure in the Swiss franc?
A)+2,400.
B)+400.
C)-2,800.
D)-2,400.

Question

The following are the net currency positions of a U.S.FI (stated in U.S.dollars). $\begin{array}{lrrrr}
\text { Currency} &\text { Assets } & \text { Liabilities } & \text { FX Bought } & \text { FX  Sold } \
\text { British pound} &24,600 & 70,000 & 170,400 & 321,000 \
\text { Yen} &31,000 & 20,400 & 250,000 & 220,000 \
\text { Swiss franc} &10,200 & 9,800 & 8,000 & 10,800
\end{array}$ What is the FI's net exposure in the Swiss franc?
A)+2,400.
B)+400.
C)-2,800.
D)-2,400.

Quizplus · Accepted Answer

NEi = (FXAi - FXLi) + (FXCBi - FXCSi)
 NE(franc) = (10,200 - 9,800) + (8,000 - 10,800) = 400 - 2,800 = -2,400.

The Following Are the Net Currency Positions of a U