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You can buy or sell the spot at $1.60 to the pound. You can buy or sell the pound 1 year forward at $1.62 to

You can buy or sell the spot at $1.60 to the pound. You can buy or sell the pound 1 year forward at $1.62 to the pound. If U.S. annual interest rates are 4%, what must be the one year British interest rate if interest rate parity holds?.

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