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1. You have $10,000 to invest for 90 days. Current spot rate: $1.32/. The 90-day forward rate is $1.38/. 90-day interest rate in US is

1. You have $10,000 to invest for 90 days. Current spot rate: $1.32/. The 90-day forward rate is $1.38/. 90-day interest rate in US is 1.5% and 90-day interest rate in UK is 2.5%. Do we have an arbitrage opportunity? How much can you make? (1 pt)

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