Suppose that the current spot exchange rate is euro 1.50/pound and the one-year forward exchange rate is euro 1.60/pound. The one-year interest rate is 5.4% in euros and 5.2% in pounds. You can borrow at most euro 1,000,000 or borrow the equivalent pound amount of pound 666, 667. What is annualized percentage forward premium/discount? If your result is 1.235%, put 1.235 in your answer. No % sign