Question: If their current exchange rate is $ 1 . 7 5 per euro, the one year forward exchange rate is $ 1 8 5 cents

If their current exchange rate is $1.75 per euro, the one year forward exchange rate is $185 cents per year, and the interest rate on British government bills is $8 per year, what risk free dollar denominated return can be locked in by investing in the British bills?

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