Post Utme Pan Atlantic University 2020 Commerce Question 19

Practice objective / multiple choice question 19 from the 2020 Post Utme Pan Atlantic University Commerce examination.

Post Utme Pan Atlantic University 2020 Commerce Objective / Multiple Choice
Question 19 POST_UTME_PAN-ATLANTIC_UNIVERSITY • 2020 • COMMERCE • objective

A company's foreign exchange risk can be hedged using a forward contract. If the company expects to receive 100,000 in 6 months and the spot exchange rate is 1 = ₦200, what is the value of the forward contract?

Answer Options

A. ₦120,000
B. ₦140,000
Correct Answer C. ₦160,000
D. ₦180,000
Correct Answer
C
Correct Option:
₦160,000

About This Question

This is Post Utme Pan Atlantic University 2020 Commerce Question 19. It is one of the objective questions from the 2020 Post Utme Pan Atlantic University Commerce examination.

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