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D. Determine if any arbitrage is possible for US, investor in the following scenarios. (20 poms) Spot rate for the British pound Quote $1.63 Forward

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D. Determine if any arbitrage is possible for US, investor in the following scenarios. (20 poms) Spot rate for the British pound Quote $1.63 Forward rate for the British pound Annual Interest Rate in the $1.70 11% Annual Interest Rate in the U.K. 8 % Spot rate for the British pound Quote S1.70 Forward rate for the British $1.63 pound 9 % Annual Interest Rate in the U.S. Annual Interest Rate in the U.K. 11.5% Spot rate for the British pound Bid Quote $1.60 Ask Quote S1.62 Spot rate for the Euro Spot rate for the Euro in British pound. $1.20 0.74 $1.21 0.745 Bid Quote 0.621 Ask Quote 0.617 ot rate for the British pound ot rate for the NZ$ ot rate for the NZ$ tish pound. NZ$1.82 0.339 NZS1.786 0.338 in

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