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An exchange rate is 0.2500 and the six-month domestic and foreign risk-free interest rates are 6% and 2% respectively (both expressed with continuous compounding). What

An exchange rate is 0.2500 and the six-month domestic and foreign risk-free interest rates are 6% and 2% respectively (both expressed with continuous compounding). What is the six-month forward exchange rate?

A. 0.2450

B. 0.2426

C. 0.2475

D. 0.2551

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