1. You observe that the spot price of the Swiss franc (CHF) is 1.05 USD/CHF, and that the 1 year forward rate is 1.04 USD/CHF. What is the percent forward premium?
Enter answer as percent, accurate to 2 decimal places.
2. Thomson Trucking has $19 billion in assets, and its tax rate is 35%. Its basic earning power (BEP) ratio is 14%, and its return on assets (ROA) is 4%. What is its times-interest-earned (TIE) ratio? Round your answer to two decimal places.