2、hattheJapaneseyen: A. increasesinvalueagainsttheU.S.dollarandtheriskthatinterestratesdecreaseinJapan. B. decreasesinvalueagainsttheU.S.dollarandtheriskthatinterestratesincreaseinJapan. C. increasesinvalueagainsttheU.S.dollarandtheriskthatinterestratesincreaseinJapan.2、Whic
3、hofthefollowingdescribe(s)ahedger? A. Anoilrefinerwhohasalargeinventoryofunleadedgasolinethatwillnotbesoldfor3monthstakesaSHORTpositioninunleadedgasolinefuturescontracts. B. Anorangegrowerwillharvestorangesandprocessthemintoorangejuiceattheendofnextmonth.Hesells(takesaSHORT
4、positionin)orangejuicefuturestoday. C. Alloftheabovedescribehedgers.3、 MacklinMetalshasreceived80millionpoundssterling.Thecompanyplanstospend$120milliononaprojectintheUnitedStatesin90days.MacklinintersintoacashsettlementcurrencyforwardtoexchangethepoundsforU. S.dollarsatarat
5、eof$1.50perpoundin90days.Iftheexchangerateis$1.61perpoundatthesettlementdate,thecashsettlementMacklinwillpayorreceiveisclosestto: A. $5.5millionpayment. B. $8.8millionpayment. C. $5.5millionreceipt.4、 Aprivateagreementbetweentwopartiestoexchangeaseriesoffuturecashflows,wit
6、hatleastoneofthetwoseriesofcashflowsdeterminedbyalateroutcome,isbestcharacterizedasa(n): A. swap. B. futurescontract. C. over-the-countercontingentclaim.5、 Thepriceofa90-dayforwardcontractona90-dayTreasurybillwillbe: A. abovethecurrentpriceofa90-dayT-bill. B. abovethecur
7、rentpriceofa180-dayT-bill. C. eitheraboveorbelowthecurrentpriceofa180-dayT-bill.6、 Consideracalloptionexpiringin110daysonanon-dividend-payingstocktradingat27whentherisk-freerateis6%.Thelowerboundforacalloptionwithanexercisepriceof25is: A.$2.00. B.$2.44. C.$1.97.7、 Whichof
8、thefollowingcharacteristicsaboutswapsisleastaccurate?Swaps: A. arec