Question: Because it is unlikely she will be able to visit you this year, your wealthy American aunt wants to send you a present for your

Because it is unlikely she will be able to visit you this year, your wealthy American aunt wants to send you a present for your birthday. You expect she will give you USD 18886 in 9 months. Having taken this course, you know you can lock in the AUD rate for this USD receivable using a money market hedge. (Annualized) 9-month interest rates in the US are 9.5%-9.3%, and 9-month interest rates in Australia are 2.8%-2.6%. The current bid-ask spot rates are 1.2348-50 AUD/USD. What is the locked in AUD value of this present?

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