Use the following information to answer the next four questions: S0=$1.2180/;E(S3mo)=$1.2160/;;F3mo=$1.2280/E. A currency speculator with no initial position in the British pound seems to agree with the expectation given above for the pound. She decides to take advantage of what she sees as an opportunity. What position should this currency traded take in the pound? Buy the pound at the expected spot rate of $1.2160/ Sell the pound at the expected spot rate of $1,2160/. Buy the pound at the forward rate of $1.2280/F. Sell the pound at the forward rate of $1.2280/ Buy the pound at today's spot rate of $1.2180/f. QUESTION 2 Assume that the speculator in the above question entered into a forward contract to buy 48 million British pounds. If by the end of the three months period the pound ends up at $1.2100/E. Calculate the total gain or loss that she would end up with. $864,000 gain $864,000 loss $576,000 gain $576,000 ioss $288,000 loss