Directions The Current Exchange Rate between Japan and U.K.

Directions The Current Exchange Rate between Japan and U.K.

Directions The Current Exchange Rate between Japan and U.K. is One British Pound Equals 150 Japanese Yen. The one year Annual Interest Rate in Japan is 1%, while the Annual Interest Rate in U.K. is 4%. Given this, what would you expect the Forward Rate to be between Japanese Yen and British Pounds, one year from now? Explain your steps in written detail and also show the numeric work.