Consider the following: CF NowRisk-free rate in the United States0.04/yearRisk-free rate in Australia0.03/yearSpot exchange rate1.67 A$/$What should be the proper futures price for a 1-year contract?

A. 1.686 A$/$
B. 1.703 A$/$
C. 1.778 A$/$
D. 1.654 A$/$
E. 1.638 A$/$


Answer: D

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Consider the sensitivity analysis report that follows. The shadow price of $0.6 is valid as long as the right-hand constraint of 240 is within the range of ______.



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B. 150–240
C. 200–300
D. 40–210

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With the regression function, the area of variation that represents changes due to general

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