Question: PLEASE HELP, C IS THE CORRECT ANSWER SHOW ALL WORK PLEASE Consider the following information for the next 4 questions. The Galleon is the home

PLEASE HELP, C IS THE CORRECT ANSWER SHOW ALL WORK PLEASE

Consider the following information for the next 4 questions. The Galleon is the home currency at Hogwarts. The spot dollar cost of 1 Galleon (GAL/USD) $2.7500 The risk free interest rate in the U.S4% The risk free rate at Hogwarts 9% The spot dollar cost of one Ducat (DUC/USD) is $0.6000 7. If the interest rate parity theorem holds, then what should be the GAL/USD 2 year forward rate? a. $2.3146 b. $2.4072 c. $2.5035 d. $2.6036 e. $2.7078 Consider the following information for the next 4 questions. The Galleon is the home currency at Hogwarts. The spot dollar cost of 1 Galleon (GAL/USD) $2.7500 The risk free interest rate in the U.S4% The risk free rate at Hogwarts 9% The spot dollar cost of one Ducat (DUC/USD) is $0.6000 7. If the interest rate parity theorem holds, then what should be the GAL/USD 2 year forward rate? a. $2.3146 b. $2.4072 c. $2.5035 d. $2.6036 e. $2.7078

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