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Question 3 (3 points) Suppose the current spot rate is 1.3 $Can/$US and one year forward rate is 1.35 $Can/$US. The current Canadian interest rate

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Question 3 (3 points) Suppose the current spot rate is 1.3 $Can/$US and one year forward rate is 1.35 $Can/$US. The current Canadian interest rate is 10%. In the USA the interest rate is 8%. You have $100Can of your own. However, given your credit standing you cannot borrow any money but you can always lend or invest. How much money you can make by the end of the year (in $Can) from the given investment opportunities? $4.50 Can $5.50 Can None of these $3.25 Can $1.25 Can

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