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A Cash Manager has converted AUD 2 0 0 , 0 0 0 in CAD for 6 0 days. The AUD bank account carries no

A Cash Manager has converted AUD 200,000 in CAD for 60 days. The AUD bank account carries no interest, and the company borrows in CAD at an interest rate of 5.50%. The forward rate AUD/CAD 0.9876 includes a 20-point premium. Calculate the rate of return this swap will give.
A. This swap will provide a yield of 4.20%.
B. This swap will provide a yield of 6.72%.
C. This swap will provide a yield of 6.63%.
D. This swap will provide a yield of 4.27%.

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