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Currently, the GBP/USD rate is 1.5087 and the three-month forward exchange rate is 1.5224. The three-month interest rate is 6.5% per annum in the U.S.

Currently, the GBP/USD rate is 1.5087 and the three-month forward exchange rate is 1.5224. The three-month interest rate is 6.5% per annum in the U.S. and 5.4% per annum in the U.K. Assume that you ca...

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