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Suppose that the spot exchange rate of EUR is 1.1855 USD for 1 Euro. Suppose that the 3-month USD interest rate is 1.50% annualized and

Suppose that the spot exchange rate of EUR is 1.1855 USD for 1 Euro. Suppose that the 3-month USD interest rate is 1.50% annualized and the Euro interest rate is 0.05% annualized (rates are continuously compounded in this problem). What is the 3-month forward exchange rate?

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