Calculate the value of the contract at 4^th February and the credit or debit to the margin account on the 4 ^th February. Suppose that a trader buys one three-month Australian dollar forward contract on 1 February at 0.5662 (USD/AUD). On successive days the following may happen as the settlement exchange rate changes (in accordance with the spot rate) A) 57,500 and -880 B) 57,500 and +880 C) 57,500 and +650 D) 57,500 and -650

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The Answer of Calculate the value of the contract at 4^th February and the credit or debit to the margin account on the 4 ^th February. Suppose that a trader buys one three-month Australian dollar forward contract on 1 February at 0.5662 (USD/AUD). On successive days the following may happen as the settlement exchange rate changes (in accordance with the spot rate) A) 57,500 and -880 B) 57,500 and +880 C) 57,500 and +650 D) 57,500 and -650

Calculate the Value of the Contract at 4th February and the Credit

Calculate the Value of the Contract at 4^th February and the Credit