Casasophia June 2011Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Casasophia June 2011This topic has 3 replies, 2 voices, and was last updated 7 years ago by John Moffat.Viewing 4 posts - 1 through 4 (of 4 total)AuthorPosts November 20, 2017 at 7:26 pm #417001 coldettMemberTopics: 5Replies: 22☆Sir,In part b of the question, I used the PPP to forecast the forward rates and when I checked the answer, the tutor used the Interest parity but we got the same cash flow forecast.Kindly explain if what I did was okay. Thanks November 21, 2017 at 1:20 pm #417121 John MoffatKeymasterTopics: 57Replies: 54643☆☆☆☆☆Not really.PPP is used to forecast future spot rates, but forward rates are determined using interest rate parity. November 21, 2017 at 2:25 pm #417153 coldettMemberTopics: 5Replies: 22☆Thanks so much. I wish I invite you for a dinner when I pass P4? November 21, 2017 at 2:25 pm #417154 John MoffatKeymasterTopics: 57Replies: 54643☆☆☆☆☆I will look forward to it 🙂AuthorPostsViewing 4 posts - 1 through 4 (of 4 total)The topic ‘Casasophia June 2011’ is closed to new replies.