Suppose the rate of appreciation of the dollar relative to the yen over the next 90 days is normally distributed with a mean of -1% and a standard deviation of 3%. Use a spreadsheet program to graph the distribution of the future yen–dollar exchange rate. If the current spot exchange rate is ¥99/$, and the 90-day forward rate is ¥98.30/$, describe the distribution of yen profits or losses from selling $5,000,000 forward?
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