34. Assume the Canadian dollar is the home currency. The one-year interest rate and 5.9% in Britain. The spot price of one British pound today is C$1.7843 per pound. (a) What is the expected value of British pound in one year? (b) What is the expected appreciation or depreciation of British pound in one year? (c) What amount of arbitrage profit is possible with an investment of C$1 million, if the known one year forward price of British pound today is C$1.7425 per pound? Describe your investment strategy. -* F-R com