Question: 5. Please use the following information to answer the next three questions about money market hedge: 180-day U.S. interest rate 8% 180-day British interest rate

5. Please use the following information to answer the next three questions about money market hedge: 180-day U.S. interest rate 8% 180-day British interest rate 9% 180-day pound forward rate $1.50 U.K. pound spot rate $1.48 Riverside Co. will receive 400,000 pounds in 180 days. How much foreign currency do you need today in a money market hedge? How many U.S. dollars do you receive from the currency conversion today? If the U.S. dollars received from the conversion are immediately deposit in U.S. for 180 days, how much will be available to Riverside Co. after 180 days?

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