Based on the following table. Instrument Bid Ask USDJPY 1M FWD -3.14 -2.9 USDJPY 2M FWD -6.22 -5.82 USDJPY 3M FWD -9.78 -9.18 USDJPY 4M FWD -13.17 -12.37 USDJPY 5M FWD -16.39 -15.39 USDJPY 6M FWD -20.44 -19.24 USDJPY Spot 121.112 121.233 What is the average annualized forward premium/discount for the JPY if you use the 4M forward contract (Format for answer: X.XX% or –X.XX%)

Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter11: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 11.19E
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Based on the following table.

Instrument
Bid
Ask
USDJPY 1M FWD
-3.14
-2.9
USDJPY 2M FWD
-6.22
-5.82
USDJPY 3M FWD
-9.78
-9.18
USDJPY 4M FWD
-13.17
-12.37
USDJPY 5M FWD
-16.39
-15.39
USDJPY 6M FWD
-20.44
-19.24
USDJPY Spot
121.112
121.233


What is the average annualized forward premium/discount for the JPY if you use the 4M forward contract (Format for answer: X.XX% or –X.XX%)

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