Problem Suppose that the 2-year interest rates in Australia and the United States are 5% and 7%, respectively, and the spot exchange rate between the Australian dollar (AUD) and the US dollar (USD) is 0.6200 USD per AUD. (a) Suppose the 2-year forward exchange rate is 0.6300. Is there arbitrage? If so, state how you would obtain it, and what your riskless profit would be. (b) Suppose the 2-year forward exchange rate is 0.6600. Is there arbitrage? If so, state how you would obtain it, and what your riskless profit would be (c) What should the 2-year forward exchange rate be, assuming there is no arbitrage