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What is the return in domestic currency

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Question 1: Answer the following question concerning the rate of return of an Australian investor who invests in the UK in Year 0. After 1 year of investment, the investor finds that the return denoted in Pound sterling is 10.18%. The exchange rates are 1 Pound sterling to 1.84 at the start of the year, and 1 Pound sterling to 1.99 at the end of the year. What is the return in domestic currency (i.e. AUD) in % and two decimal places?

Reference no: EM132918889

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