If the spot rate of the Israeli shekel is 5.51 shekels per dollar and the 180-day forward rate is 5.97 shekels per dollar,then what is the forward rate for the Israeli shekel selling at?
A) a premium of 8% to the spot rate
B) a premium of 18% to the spot rate
C) a discount of 18% to the spot rate
D) a discount of 8% to the spot rate
Correct Answer:
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