Suppose you invested in a bond that has a par value of $2,307,692\mathrm{.}3077$ British pounds, a coupon rate of $10$ percent $($with payments being made at the end of each year$),$ and four years until its maturity. Also suppose that the value of the pound is currently $$1\mathrm{.}30.$

For each of the scenarios, calculate the forecasted cash flows for years $1,2,3,$ and $4.($Hint: Do not round intermediate calculations. Round your final answers to the nearest whole dollar value.$)$

Scenario I $($Stable Pound$)$

Year $1$

Year $2$

Year $3$

Year $4$

Forecasted value of the pound $$1\mathrm{.}30$ $$1\mathrm{.}30$ $$1\mathrm{.}30$ $$1\mathrm{.}30$

Forecasted dollar cash flows

$

$

$

$

Scenario II $($Weak Pound$)$

Year $1$

Year $2$

Year $3$

Year $4$

Forecasted value of the pound $$1\mathrm{.}28$ $$1\mathrm{.}26$ $$1\mathrm{.}24$ $$1\mathrm{.}20$

Forecasted dollar cash flows

$

$

$

$

Scenario III $($Strong Pound$)$

Year $1$

Year $2$

Year $3$

Year $4$

Forecasted value of the pound $$1\mathrm{.}32$ $$1\mathrm{.}35$ $$1\mathrm{.}38$ $$1\mathrm{.}41$

Forecasted dollar cash flows

$

$

$

$

Based on your calculations, the least attractive foreign bonds are those that are denominated in a currency which over time.