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Casasophia

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA AFM Exams › Casasophia

  • This topic has 1 reply, 2 voices, and was last updated 1 year ago by John Moffat.
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  • August 24, 2021 at 11:19 am #632734
    cayz
    Member
    • Topics: 10
    • Replies: 15
    • ☆

    Sir how are you,

    The answer given in the revision kit calculates number of options as = number of euro receipts/contract size. However, the money is be deposited for until the beginning of the project which is six months.

    My question sir is, aren’t we supposed to say =number of euro receipt/contract size*number of months in a deposit/3 months?

    Thank you in advance sir….

    August 24, 2021 at 3:05 pm #632756
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 51532
    • ☆☆☆☆☆

    What you have written related to interest rate options.

    These are currency options and are being used for the conversion of the $20M into €’s.

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