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Suppose that the annual interest rate in US is 4% while it is 6% in UK. Ignore all costs, what is British Pound's 1-year forward
Suppose that the annual interest rate in US is 4% while it is 6% in UK. Ignore all costs, what is British Pound's 1-year forward premium (or discount) if interest rate
parity holds? (note: use the original interest rate parity formula, DO NOT use the simplified formula; US is the home country)
O 1.92%
O 2.00%
O -2.00%
O -1.89%
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Basic Accounting Auditing Concepts Internal Auditing And Guiding
Authors: Bertram Bessette
1st Edition
B09PMFWVSJ, 979-8796265253
