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CAN ANYONE ASSIST ME PLEASE URGENT : Suppose that the current spot exchange rate is / 1.50/52 and the one-year forward exchange rate is 1.60/64.

CAN ANYONE ASSIST ME PLEASE URGENT :

Suppose that the current spot exchange rate is / 1.50/52 and the one-year forward exchange rate is 1.60/64. The one-year interest rate is 5.4% in euros and 5.2% in pounds. You can borrow at 1,000,000 or the equivalent pound at the current spot exchange rate. Which countrys money market you decide to invest? Why? Calculate the amount of arbitrage profit and loss in ? Bid-Ask Prices? How to solve??

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