FINAL EXAM SU2021 A Saved Help Save & E Required: If the current exchange rate is $1.60/£, the one-year forward exchange rate is $1.85/£, and the interest rate on British government bills is 5% per...

Extracted text: FINAL EXAM SU2021 A Saved Help Save & E Required: If the current exchange rate is $1.60/£, the one-year forward exchange rate is $1.85/£, and the interest rate on British government bills is 5% per year, what risk-free dollar-denominated return can be locked in by investing in the British bills? (Do not round intermediate calculations. Round your percentage answer to 2 decimal places.) 19 Risk-free dollar-denominated return % 01:54:00