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The exchange rate between US dollars and British Pounds is currently $1.7040/. The risk free interest rate is currently 3.7% for US Dollar deposits, and

The exchange rate between US dollars and British Pounds is currently $1.7040/. The risk free interest rate is currently 3.7% for US Dollar deposits, and 4.9% for GBP deposits. What should the price of GBP be on a three-month forward contract?

Select one:

a. 1.7091

b. 1.7246

c. 1.7116

d. 1.7069

e. 1.6989

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