You are considering making a one-year investment. If you invest in the US, you will earn a 2.5% return. The rate on a similar investment in Euros (C) is 4%. The current spot exchange rate (Ss/e) is $1.17/. Assume that the current quote on a one-year forward rate is (F3/e) is $1.20/. Assume that you can borrow/invest the equivalent of $1,000 at the above rates. Given the quoted forward rate, is there an arbitrage opportunity? If so, what is the risk-free profit from an investment strategy that exploits the arbitrage opportunity? Yes. $41.67 Yes. $66,67 No. $0 None of the above. You are considering making a one-year investment. If you invest in the US, you will earn a 2.5% return. The rate on a similar investment in Euros (C) is 4%. The current spot exchange rate (Ss/e) is $1.17/. Assume that the current quote on a one-year forward rate is (F3/e) is $1.20/. Assume that you can borrow/invest the equivalent of $1,000 at the above rates. Given the quoted forward rate, is there an arbitrage opportunity? If so, what is the risk-free profit from an investment strategy that exploits the arbitrage opportunity? Yes. $41.67 Yes. $66,67 No. $0 None of the above