Suppose that the six-month interest rate is 6.0 percent p.a. in the United States and 3.5 percent p.a. in euro zone, and the six-month forward exchange rate is $1.16/. What must the spot exchange rate be? Assume CIRP holds and ignore the transaction cost.

Group of answer choices

None of the other answers

$1.1326/

$1.1743/

$1.1881/

$1.1459/