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You have 5.10 million to invest. If you invest the money in the US for six months, you can eam 2%6/year. Alternatively, you can invest

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You have 5.10 million to invest. If you invest the money in the US for six months, you can eam 2\%6/year. Alternatively, you can invest in Switzerland and earn 49/ year. The spot exchange rate is CHF 0,9188/5. The forward exchange rate for delivery six months hence is CHF 0.9188/5. Which method of investing do you prefer and what will be the value of your investment at maturity? Assume no transaction cost. Invest in the US: $10,373,610 Invest in Switzerland; $10,202,013 Invest in Switzerland; CHF 10,373,610 None of these Invest in the US: $10.100.502

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