Question 24 5pts Assume the following information: You borrowed $1,000,000 from the US Bank and want to invest that money in the UK market in 90 days. Current spot rate of pound = $1.30p 90 day forward rate for pound in the b Forward market = $1.28p 3 month deposit rate in US = 3% annual 3 month deposit rate in UK = 4% annual If you use b covered interest arbitrage for a 90 day investment, what will be the amount of Net US $ profit which is riskless you will have after 90 days? around $91, 240 around $97,400 around $95, 700 around $93,700

Problem 11   Intro You have $22,000 to invest. The spot rate for the euro is $1.16 per euro, while the 180-day forward rate is $1.17 per euro. The six-monthly interest rate in the euro area is 6% and in the U.S. it is 3%.  Attempt 5/10 for 8 pts. Part 1 What is your risk-free rate of return (yield) from exploiting the higher interest rate in the euro area?   Submit

Q. 30 Assume you have secured a loan of $10,000 from a bank  which will be paid in one year. The fin bank has offered you $850 monthly installments, which equates to a 3.67% annualized interest rate. The monthly interest rate of 0.31% is the annual rate divided by 12. You know that the interest is paid at the end of the period, so you can multiply the opening balance by the monthly interest rate to get the interest paid. What is the opening balance for the month of June?   Month    Payment             Interest    Principal    Opening Balance    Closing BalanceJanuary    $850.00            $10,000.00    February    $850.00                March    $850.00                April    $850.00                May    $850.00                June    $850.00                July    $850.00                August    $850.00                September    $850.00                October    $850.00                November    $850.00                December    $850.00                Monthly Rate    0.31%…

QUESTION THREE A K100, 000 Treasury bill currently sells at 95% of its face value and is 65 days from maturity. Calculate the following for the Treasury bill:  the discount yield.                                                                                                    the investment yield.