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You are considering making a one-year investment. If you invest in the US, you will earn a 5% return. The rate on a similar investment

You are considering making a one-year investment. If you invest in the US, you will earn a 5% return. The rate on a similar investment in Euros () is 3%. The current spot exchange rate (S$/) is $1.17/. If interest-rate parity holds, what should be the one-year $/ forward rate (F$/)?

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$1.1700/

$1.1927/

$1.1477/

$1/

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