Suppose the current exchange rate is 1.30 U.S. Dollars (USD) per British Pound (GBP). Suppose that Apple sells for $330/share. The the term structure is flat at 1.5% (APR with semi-annual compounding). Suppose that over the next year, Apple will pay only a single dividend of $3.30/share at t= 1/2 (to whoever owns the stock at t= 1/2.) (c) (6 points) Suppose that you are on a trading desk and a client requests a forward price in GBP for a share of Apple to be delivered at T = 1. What is an appropriate price? The contract will be an agreement at t = 0 to an exchange of x GBP for 1 share of Apple at T = 1. Suppose the current exchange rate is 1.30 U.S. Dollars (USD) per British Pound (GBP). Suppose that Apple sells for $330/share. The the term structure is flat at 1.5% (APR with semi-annual compounding). Suppose that over the next year, Apple will pay only a single dividend of $3.30/share at t= 1/2 (to whoever owns the stock at t= 1/2.) (c) (6 points) Suppose that you are on a trading desk and a client requests a forward price in GBP for a share of Apple to be delivered at T = 1. What is an appropriate price? The contract will be an agreement at t = 0 to an exchange of x GBP for 1 share of Apple at T = 1