Assume the Current Spot Rate for the Norwegian Krone Is

Assume the current spot rate for the Norwegian krone is $1 = NKr7.93,the expected inflation rate in Norway is 2.4 percent while it is 2.6 percent in the U.S.Also assume a risk-free asset in the U.S.is yielding 4.5 percent.What real rate of return should you expect on a risk-free Norwegian security?

A) 4.3 percent
B) 4.7 percent
C) 1.9 percent
D) 2.1 percent
E) 2.4 percent