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The interest rate in the U.S. is 6% p.a. and 8% p.a. in Mexico. The current spot rate is USD/MXN 0.0845. Calculate the forward rate

The interest rate in the U.S. is 6% p.a. and 8% p.a. in Mexico. The current spot rate is USD/MXN 0.0845. Calculate the forward rate for a six-month forward contract. (3 marks)

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