1.

Forward Premium or Discount can be computed by which of the following formulae?

A. (Spot rate - Forward rate) / Spot rate × 360 / Future point in time
B. (Spot rate - Forward rate) / forward rate × 360 / Future point in time
C. (Forward rate - Spot rate) / Forward rate × 360 / Future point in time
D. (Forward rate - Spot rate) / Spot rate × 360 / Future point in time
Answer» C. (Forward rate - Spot rate) / Forward rate × 360 / Future point in time


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