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Suppose the exchange rate for Japanese yen, S0, is currently Yen160 $1. If the interest rate in the Uni 10% and the interest rate in

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Suppose the exchange rate for Japanese yen, S0, is currently Yen160 $1. If the interest rate in the Uni 10% and the interest rate in Japan is Rj = 7%, then what must the forward rate be to prevent covered interest arbitrate? ted States is RUS Select one a. 166.00 b. 155.20 c. 160.40 d. 165.20

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