Multiple Choice
Huge Corporation has just initiated a market-based forecast system using the forward rate as an estimate of the future spot rate of the Japanese yen (¥) and the Australian dollar (A$) .Listed below are the forecasted and realized values for the last period:
According to this information and using the absolute forecast error as a percentage of the realized value,Huge Corp.has forecasted the _______________ more accurately by ____________%.
A) yen;6.19%
B) Australian dollar;6.19%
C) yen;5.34%
D) Australian dollar;5.34%
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
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