Glenvor Bank believes the New Zealand dollar will move over the next fifteen days from $0.62 to $0.65.

The following annual interest rates apply:

Currency Lending Rate Borrowing Rate

Dollars 6.00% 8.00%

New Zealand dollar (NZ$) 8.10% 10.25%

Amount to be borrowed $10,000,000.00 $10,000.00

Glenvor Bank has the capacity to borrow either NZ$10 million or $10 million. Assume Glenvor Bank's forecast is correct and it attempts to capitalize on its expectations without using deposited funds?

The depreciating currency is _____, the interest rate on the borrowed funds over the 15-day period is ______ and the dollar (US) profit from speculation over the fifteen-day period is _______.

a. NZ$, 0.25%, $467,372.31

b. US$, 0.333%, $416.67

c. US$, 0.333%, $485,920.70

d. US$, 0.00333%, $485,920.70

e. NZ$, 0.427%, $537,448.67