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Please answer the question above, thanks! Casper Landsten-UIA (B). Casper Landsten is a foreign...

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Please answer the question above, thanks!

Casper Landsten-UIA (B). Casper Landsten is a foreign exchange trader for a bank in New York. Using the values and assumptions below, he decides to seek the full 4.804% return available in U.S. dollars by not covering his forward dollar receiptsan uncovered interest arbitrage (UIA) transaction. Assess this decision. Arbitrage funds available 950,000 1.2813 1.2736 Spot exchange rate (SFr/$) 3-month forward rate (SFr/$) Expected spot rate in 90 days (SFr/$) U.S. Dollar annual interest rate 1.2703 4.804 % Swiss franc annualinterest rate 3.197 % The uncovered interest arbitrage (UIA) profit amount is $ (Round to the nearest cent.)

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