Please Explain all the questions in brief as soon as possible .

1. Assuming that markets are perfect and using the arbitrage argument, derive Covered Interest Parity as a non-arbitrage equilibrium condition; also discuss the concept of least cost dealing. 2. Discuss the Interest Rate Parity (IRP) condition using the arbitrage argument. Also, illustrate the concept of least cost dealing. 3. Using the hedging approach, derive the market value of an outstanding forward purchase contract. What is the market value of a forward purchase contract at inception? Briefly justify your answer. 4. Discuss whether the forward discount interpret the cost of hedging? I 5. Discuss the Efficient Market Hypothesis in the context of the FX markets; in particular, explain the difference between market unbiasedness and market efficiency. 6. Discuss default risk and illiquidity of forward contracts