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Problem 23-11 Assume the spot price of the British pound is currently $2.1. If the risk-free interest rate on 1-year government bonds is 3% in
Problem 23-11
Assume the spot price of the British pound is currently $2.1. If the risk-free interest rate on 1-year government bonds is 3% in the United States and 6% in the United Kingdom, what must be the forward price of the pound for delivery one year from now? (Do not round intermediate calculations. Round your answer to 3 decimal places.)
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