Assume the exchange rate is GBP 1.35/USD, the US risk-free rate is 7.0 percent, and the UK risk-free rate is 3.0 percent. What is the implied one-year forward rate? GBP 1.30 USD GBP 1.20 USD GBP 1.35/USD GBP 1.25 USD O GBP 1.40 USD Which of the following is not a variable required to determine an option's value in the Black-Scholes valuation model? security price volatility future security price time to expiration risk-free rate exercise price In index options, the aggregate market takes the place of the individual stock issues being traded, as in stock options. O False True