4. Problem 7.17 (Covered Interest Arbitrage in Both Directions) Algo The one-year interest rate in New Zealand is 6 percent. The one-year U.S. interest rate is 10 percent. The spot rate of the New Zealand dollar (NZ $ ) is $0.50. The forward rate of the New Zealand dollar is $0.53. Is covered interest arbitrage feasible for U.S. investors? Explain. Do not round intermediate calculations, Round your answer to two decimal places. Covered interest arbitrage interest rate of 10 percent. feasible for U.S. investors because U.S. investors would generate a yield of Is covered interest arbitrage feasible for New Zealand investors? Explain. Do not round intermediate calculations. Round your answer to two decimal places. Covered interest arbitrage feasible for New Zealand investors because New Zealand investors would generate a vield of the New Zealand interest rate of 6 percent