Answer:
the forward discount is 1.84%
Explanation:
The computation is shown below:
As we can see that the spot rate is more than the forward rate so it is a forward discount
So the forward discount is
= (Spot rate - forward rate) ÷ (spot rate)
= ($1.63 - $1.60) ÷ $1.63
= 1.84%
Hence, the forward discount is 1.84%
