Solution-Rate of return to the swiss investor

Rate of return to the swiss investor

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Reference no: EM131317231

Suppose one year ago a Swiss investor bought one year U.S. Treasury bills at a price of $9,500 with a maturity value of $10,000. The exchange rate at that time was 1.420 Swiss francs per dollar. Today, at maturity, the investor receives $10,000 and the exchange rate is 1.324 Swiss francs per dollar. What is the rate of return to the Swiss investor?

5.26%
-1.89%
5.00%
-2.63%

Reference no: EM131317231

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Rate of return to the swiss investor : The exchange rate at that time was 1.420 Swiss francs per dollar. Today, at maturity, the investor receives $10,000 and the exchange rate is 1.324 Swiss francs per dollar. What is the rate of return to the Swiss investor?

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Rate of return to the swiss investor

Reference no: EM131317231

Reference no: EM131317231

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