The CFA book explanation says that value of currency forward contract is:

V_{t}(T)=Present value of the difference in forward prices=PV_{£,t,T}[F_{t}(£/€,T)−F_{0}(£/€,T)]

But in the example:

Q) [question removed by moderator]

The value of the foreign exchange forward contract at Time t will be *closest* to?

The value per euro to the seller of the foreign exchange futures contract at Time t is simply the present value of the difference between the initial forward price and the £/€ forward price at Time t or

V_{t}(T) = PV_{£,t,T}[F_{0}(£/€,T) – F_{t}(£/€,T)]

Why is it taking Initial - forward price at T ?? why not the other way?

Is this because of the short position? . If it would have been long than Forward -Initial.

Thanks