If the spot rate of the Israeli shekel is 5.51 shekels per dollar and the 180-day forward rate is 5.76 shekels per dollar, then the forward rate for the Israeli shekel is selling at a(n) ______________ to the spot rate.

A. 3.68% premium
B. 3.72% premium
C. 4.99% discount
D. 4.54% discount
E. 5.58% discount


Answer: D

Business

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