Please provide steps to why the anwser is B$.$

U$.$S$.$ Treasury rates are $2\%$ while U$.$K$.$ rates are $4\%.$ The spot rate is $$\frac{1\mathrm{.}25}{f}.$

A U$.$S$.$ bank is charging $5\%$ for borrowers.

A U$.$K$.$ bank is charging $6\%$ for borrowers.

What is the effective exchange rate with a money market hedge if you were owed $10$ million?

A$.$ $$\frac{1\mathrm{.}2260}{E^{***}}$

B$.$ $$\frac{1\mathrm{.}2028}{}$

C$.$ $$\frac{1\mathrm{.}2620}{}$

D$.$ $$\frac{1\mathrm{.}2347}{}$