国际金融IFinanceTestBank5之欧阳家百创编

Chapter 5—Currency Derivatives
欧阳家百（2021.03.07）
1.Kalons, Inc. is a U.S.-based MNC that frequently imports raw materials
from Canada. Kalons is typically invoiced for these goods in Canadian dollars and is concerned that the Canadian dollar will appreciate in the near future. Which of the following is not an appropriate hedging
2.Graylon, Inc., based in Washington, exports products to a German firm and
will receive payment of €200,000 in three months. On June 1, the spot rate of the euro was $1.12, and the 3-month forward rate was $1.10. On June 1, Graylon negotiated a forward contract with a bank to sell €200,000 forward in three months. The spot rate of the euro on
3.The one-year forward rate of the British pound is quoted at $1.60, and the
spot rate of the British pound is quoted at $1.63. The forward ____ is
4.The 90-day forward rate for the euro is $1.07, while the current spot rate of
the euro is $1.05. What is the annualized forward premium or discount
5.Thornton, Inc. needs to invest five million Nepalese rupees in its Nepalese
subsidiary to support local operations. Thornton would like its subsidiary to repay the rupees in one year. Thornton would like to
6.In the U.S., the typical currency futures contract is based on a currency
8.Currency options sold through an options exchange:
11.Which of the following is the most likely strategy for a U.S. firm that will
be receiving Swiss francs in the future and desires to avoid exchange
12.Which of the following is the most unlikely strategy for a U.S. firm that
will be purchasing Swiss francs in the future and desires to avoid
13.If your firm expects the euro to substantially depreciate, it could speculate
by ____ euro call options or ____ euros forward in the forward
14.When you own ____, there is no obligation on your part; however, when
15.The greater the variability of a currency, the ____ will be the premium of
a call option on this currency, and the ____ will be the premium of a
16.When currency options are not standardized and traded over-the-counter,
17.The shorter the time to the expiration date for a currency, the ____ will be
the premium of a call option, and the ____ will be the premium of a put
18.Assume that a speculator purchases a put option on British pounds (with a
strike price of $1.50) for $.05 per unit. A pound option represents
31,250 units. Assume that at the time of the purchase, the spot rate of the pound is $1.51 and continually rises to $1.62 by the expiration date. The highest net profit possible for the speculator based on the
21.If you expect the euro to depreciate, it would be appropriate to ____ for
22.If you expect the British pound to appreciate, you could speculate by ____
pound call options or ____ pound put options.。