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The 2-year interest rates in Canada and the US are 6.4% and 5.6% respectively, with semiannual compounding. The spot exchange rate is 0.75 US
The 2-year interest rates in Canada and the US are 6.4% and 5.6% respectively, with semiannual compounding. The spot exchange rate is 0.75 US dollars per Canadian dollar. (5 points) What is the 2-year forward exchange rate?
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Options Futures and Other Derivatives
Authors: John C. Hull
10th edition
013447208X, 978-0134472089
