(8 ma Calculations - Show all the workings for the calculations. The following interest rates exist in the markets for years 1 to 5 respectively: 2%, 2.5%, 3.25%, 4.25% and 5.5%. Calculate the one-year forward starting in year 2 and the two-year forward starting in year 3. The exchange rate between Freedonia and Barama is 22.5 Freeds to 1 Bar. If the one-year interest rates in the two countries are 7% and 11% respectively, what is the six-month forward rate between the two countries? The corporate tax rate in Freedonia is 35% and is 25% in Barama. (8 marks)