The inflation rate in United Kingdom has grown at a much faster rate than the inflation in USA. As a result of this, interest rates are higher in UK$.$ It is also given that the conditions of interest rate parity are in existence. Identify which of the following statements is true?

Americans using covered interest arbitrage earn the same rate of return as Brits who attempt covered interest arbitrage.

Americans using covered interest arbitrage earn the same rate of return as Brits who attempt covered interest arbitrage AND Americans who invest in the United States earn the same rate of return as Brits who attempt covered interest arbitrage.

Americans who invest in the United States earn the same rate of return as Brits who attempt covered interest arbitrage.

Americans who invest in the United States earn the same rate of return as Brits who invest in UK$.$

None of these are correct.