Multiple Choice
An Australian exporter has despatched a consignment to the USA and expects to receive payment of USD 250 000 in three months' time.The company wishes to hedge part of its exposure to the USD,and enters into a forward exchange contract with its bank,based on the amount USD 125 000.Based on today's data (below) ,what amount in AUD will the company receive in three months' time?
Spot rate:
AUD/USD 0.7345-50
Three-month forward rate:
AUD/USD 0.7430-35
A) AUD 340 136.05
B) AUD 340 367.60
C) AUD 336 473.76
D) AUD 336 247.48
Correct Answer:

Verified
Correct Answer:
Verified
Q75: When a company has entered into a
Q76: Consider these five statements:<br>i.If an Australian business
Q77: When a company uses the internal foreign
Q78: A board of directors is concerned about
Q79: In relation to foreign exchange risk policy
Q81: Discuss the importance of the recording of
Q82: According to the text,which person(s)in the company
Q83: Consider these five statements:<br>i.If an Australian business
Q84: When a company has an open FX
Q85: A commonly used strategy by Australian exporters