Question: 5 Problem 25-7 10 points If the current exchange rate is $1.60/, the 1-year forward exchange rate is $1.80/, and the interest rate on British

5 Problem 25-7 10 points If the current exchange rate is

5 Problem 25-7 10 points If the current exchange rate is $1.60/, the 1-year forward exchange rate is $1.80/, and the interest rate on British government bills is 7% per year, what risk-free dollar-denominated return can be locked in by investing in the British bills? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Skipped Risk-free dollar-denominated return % eBook Print References

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