10. The current exchange rate from dollars to British pounds is 1.03 (\$/pound). The current dollar denominated continuously compounded risk-free rate 4% and you observe the current pound forward contract with 3 years to maturity to have a forward price of $1.11. a. What is the implied pound denominated risk-free rate? b. If the actual pound denominated risk-free rate is 0, how would you create an arbitrage opportunity? c. What is the arbitrage profit from your strategy in part b