Assume that you have invested $100,000 in British equities. When purchased, the stock's price and the exchange rate were 50 and 0.50/$1.00 respectively. At selling time, one year after purchase, they were 60 and 0.60/$1.00. If the investor had sold 50,000 forward at the forward exchange rate of 0.55/$1.00, the dollar rate of return would be

Multiple Choice

7.58 percent.

10.90 percent.

28.00 percent.

9.09 percent.