International finance, finance, Other Engineering

at the beginning of year 1 the terranian central bank conducted k100 million of dollar selling/terranian kwacha buying intervention. The intervention was undertaken at the rate of 1 dollar per kwacha and immediately afterwards the currency strengthened to 1.2 dollars per kwacha and stayed there.

at the end of year 5 the exchange rate is still at 1.1 whilst kwacha 1 year interest rates are (and have always been) 6% whilst dollar 1 year interest rates are (and have always) been 1%.
The profit/loss of the intervention at then end of year 5 is _________ million Kwacha.
Hint: quote you answer to 1 decimal place and express a loss by putting a ''-'' in front of your answer (if a profit do not put a ''+'')
Posted Date: 3/10/2012 5:21:11 AM | Location : United States







Related Discussions:- International finance, finance, Assignment Help, Ask Question on International finance, finance, Get Answer, Expert's Help, International finance, finance Discussions

Write discussion on International finance, finance
Your posts are moderated
Related Questions
Approach The Hanley solver does solve for the boundary layer and potential flow (in a way we will think about later). However, it only gives us full access to the potential solu

show that heat and work are path functons

figure of amplitude shift keying & it''s explaination

Explain the following observations: cells of Escherichia coli fermenting glucose grow faster when NO3 - is supplied to the culture and then grow even faster when the culture is hig


soil and water and irrigational projects

DEALER'S CERTIFICATE Reference: When the sale of an aircraft involves flight without a Certificate of Registration, The C.A.A. will permit the aircraft to fly under certain re

Thermoelectric effect The measurement of temperature using a thermocouple relies on Seebeck effect. The electrons occupy different energy levels in different materials

Let C(K) denote a European vanilla Call option with strike price K. Assume that all options are identical except for strike price, and strike prices satisfy (K1) What are the no-

program how to estimate the inner curve using spline interpolation