Question: Please show detailed solution using Excel. Thank you. If the ratio between direct quote of forward divided by spot exchange rates of US $ over

 Please show detailed solution using Excel. Thank you. If the ratio

Please show detailed solution using Excel. Thank you.

If the ratio between direct quote of forward divided by spot exchange rates of US $ over Mexican Peso is 0.95 and the interest rate in the US is 4%, then the interest rate in Mexico is expected to be: A) -1.2% B) 6.3% C) 7.4% D) 8.2% E) 9.5%

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