If the spot rate for the yen/ dollar is ¥110.00 and the forward rate is ¥111.00 then the yen trades at
A) a forward discount of .009091 to the dollar.
B) a forward premium of .009091 to the dollar.
C) a forward discount of .009009 to the dollar.
D) a forward premium of .009009 to the dollar.
Correct Answer:
Verified
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