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Business, 13.11.2019 23:31 addisonrausch
Current spot rate of new zealand dollar = $.41 forecasted spot rate of new zealand dollar 1 year from now = $.43 one-year forward rate of the new zealand dollar = $.42 annual interest rate on new zealand dollars = 8% annual interest rate on u. s. dollars = 9% given the information in this question, the return from covered interest arbitrage by u. s. investors with $500,000 to invest is %.
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