As at 3 January 2008 the following information was known: NZ 90 day bank bill interest rate was 8.8% per annum (ii) US 90 day bank bill interest rate was 4.1% per annum (iii) the spot exchange rate was US$0.7748 What must the forward exchange rate have been at the time in order for currency asset holders to be neutral about holding either $NZ or $US assets? (Calculate the value correct to 4 d.p. and enter just the number, e.g. 0.1234, and no other symbols or letters) Answer: 0.7659