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5. The spot exchange rate between the British pound and the dollar today is 0.8040/$. The British pound three-month forward rate is quoted at 8.3400%

5. The spot exchange rate between the British pound and the dollar today is 0.8040/$. The British pound three-month forward rate is quoted at 8.3400% discount.

a. What is the outright 3-month forward rate of the British pound in terms of the dollar?

b. What is the outright 3-month forward rate of the dollar in terms of the British pound?

c. At what premium/discount would the three-month dollar forward be quoted?

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