Question: can you simulate in excell this solution? the answer should be 2400 16. A U.S.-based currency dealer has good credit and can borrow $1,000,000 for

can you simulate in excell this solution? the answer should be 2400

16. A U.S.-based currency dealer has good credit and can borrow $1,000,000 for one year. The one-year interest rate in the US. is is = 2% and in the euro zone the one-year interest rate is is = 6%. The spot exchange rate is $1.25 = GFM--Practice set 1 1.00 and the one-year forward exchange rate is $1.20 = 1.00. Show how to realize a certain dollar profit via arbitrage

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