The UK interest rate is 2% per annum and the US interest rate is 5% per annum. At the current time, one can exchange $1.5 for 1. Which of the values below is closest to the 2 year forward exchange rate of GBP for USD?

Select one:

a. $1.60 per pound

b. $1.40 per pound

c. $1.45 per pound

d. $1.55 per pound