Ask Question
28 April, 17:15

In September 2009 a U. S. investor chooses to invest $500,000 in German equity securities at a then current spot rate of $1.30/euro. At the end of one year the spot rate is $1.35/euro. Refer to Instruction 13.1. How many euros will the U. S. investor acquire with his initial $500,000 investment?

+1
Answers (1)
  1. 28 April, 18:17
    0
    Euro 370,370.37

    Explanation:

    The amount of Euros he will be able to acquire at the end of the year is equal to

    Amount to invest / spot rate at the date

    At the current spot rate of $1.35/euro

    Euros to acquire = 500,000/1.35

    = Euro 370,370.37
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “In September 2009 a U. S. investor chooses to invest $500,000 in German equity securities at a then current spot rate of $1.30/euro. At the ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers