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Business, 20.08.2020 16:01, ublockmon786
Assume you have $1,000,000 to invest Current spot rate of the pound = $1.30 90 day forward rate of pound = $1.28 3 month deposit rate in US = 3% 3 month deposit rate in Great Britain = 4% If you use covered interest arbitrage for a 90-day investment, what will be the amount of U. S.dollars you will have after 90 days? Show your work.
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Answers: 1
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Assume you have $1,000,000 to invest Current spot rate of the pound = $1.30 90 day forward rate of p...
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