Eurocurrency market-what is one-year forward exchange rate

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Reference no: EM13825984

The spot €:$ is equal to 1.1795. The one-year interest rates on the Eurocurrency market are 4% in euros and 5% in U.S. dollars. What is the one-year forward exchange rate?

A. 1.1683

B. 1.1908

C. 1.1895

D. 1.1913

Reference no: EM13825984

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