$18 Question 21 15 pts US interest rates are 2% and interest rates in Germany are 5%. Current exchange rate Ss/e = $1.17/. The one-year forward rate (Fs/e) = $1 15/.. Does interest rate parity hold? If not, how can you take advantage of this to make a risk-free profit? Be specific. State in which currency you will borrow/invest and compute the risk-free profit from your investment strategy. Assume that you will borrow/invest the equivalent of $1,000. HTML Editora | B I J A A = = = = = x x = = V VDT 12pt Paragra