Q3: Suppose a US investor has $5000 to invest and can choose either a US investment paying 2.5% or a foreign investment paying 1%, where e is currently 2.1 and the investor can lock in e in one year equal to 2.15.

How much will the US investment be worth after a year? How much foreign currency can investor get now? How much foreign currency will investor get after a year? How much (in dollars) will the foreign investment be worth after a year?