Question: Can you please solve it as fast as you can! I will rate it right away! Suppose the domestic interest rate is 4.75%, and the
Can you please solve it as fast as you can! I will rate it right away! Suppose the domestic interest rate is 4.75%, and the home interest rate is 3.15%. Use it to answer questions below!

Part 3 of 3 - Interest rate parity Suppose the domestic interest rate is 4.75%, and the home interest rate is 3.15%. Question 29 of 32 2.5 Points Click to see additional instructions Rounded to two decimal places as a percent, the forward premium is % Question 30 of 32 2.5 Points Click to see additional instructions If spot is $1.25, then the forward rate to two decimal places is Question 31 of 32 2.5 Points cy. If the forward premium is actually 1.00%, then... A. investors may be able to engage in covered interest arbitrage and earn a higher return by investing in the foreign cu B. domestic investors would achieve a lower return on a foreign investment than on a domestic one. C. no covered interest arbitrage is possible. Reset Selection Question 32 of 32 3 Points The forward rate is not affected by the factors that affect the spot rate. True False
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